Swiss FINMA vows to strictly dissect Libra for bank-like risks
|- FINMA to scrutinize Libra “for bank-like risks” including anti-money laundering standards.
- Regulators around the world also promised to hold Facebook to high standard matching the potential of the Libra project.
Facebook is starting into another regulatory setback in Switzerland after the Swiss Financial Market Supervisory Authority (FINMA) promised to scrutinize Libra before giving the project a go-ahead.
As reported on Wednesday Facebook is seeking a license from the country’s financial regulator. In response to the filing, FINMA stated that I will dissect the project:
“For bank-like risks, for example, bank-like regulatory requirements would apply. The highest international anti-money laundering standards would need to be ensured throughout the entire ecosystem of the project.”
On the other hand, regulation for the project is at a standstill in the United States. The lawmakers expressed their distrust in Facebook running a project of such magnitude. Other regulators promised to ensure that all concerns are met before Libra is launched.
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