• Facebook’s GlobalCoin is set for a 2020 launch.
  • The French Finance Minister and the German member of the European Parliament have expressed their concerns.

European central bankers recently stated that they have a set of concern regarding Facebook’s GlobalCoin. Despite signing up financial giants like Visa, Mastercard and PayPal to back their crypto, Facebook is still facing skepticism from top policymakers. This implies that not all European supervisors are satisfied with the idea of the coin.

French Finance Minister Bruno Le Maire said in a radio interview that Facebook’s stablecoin shouldn’t be seen as a substitute to fiat currencies. Le Marie has expressed his concern if Facebook’s coin can strictly stick to money-laundering and anti-terrorism rules. Speaking about the serious implications for financial stability if authorities lose hold over the phenomenon, Le Marie called for G7 banks to make a report on Facebook’s project for their July meeting. Markus Ferber, the German member of the European Parliament, also warned that GlobalCoin could produce a “shadow bank.”

Governor of the Bank of England, Mark Carney, on the other hand, is keeping an “open mind” on GlobalCoin. Earlier this year, Carney reportedly discussed with Facebook founder Mark Zuckerberg about the project as part of a broader meeting on the future of finance. However, he said that it may face strict regulation after it is launched. He stated:

“Anything that works in this world will become instantly systemic and will have to be subject to the highest standards off regulation.”

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility.

Cryptos feed

Latest Crypto News & Analysis

Editors’ Picks

Bitcoin market update: BCH/USD sellers catalyze the breakdown under $220

The crypto market is bleeding across the board. Major cryptos like Bitcoin and Ethereum fall overnight while Bitcoin Cash engaged the reverse gear during Wednesday’s European session. From an opening price of $226.97, BCH ascended to an intraday high of $227.76. 

More Bitcoin Cash News

IOTA price analysis: IOT/USD loses ground, moves within the recent channel

IOTA, the 17th largest digital asset with the current market value of $745 million, has been moving in a tight range recently. The coin has lost 1.8% of its value on a day-to-day basis amid global sell-off on the cryptocurrency market.

More IOTA News

Ethereum price prediction: ETH/USD collapses below $170.00 – Confluence Detector

ETH/USD surrounded $170.00 support amid massive sell-off on the global cryptocurrency market. ETH, the second digital coin has lost over 4% of its value in recent 24 hours to trade at $167.00 by press time.

More Ethereum News

Facebook’s Libra could be regulated by the SEC: The US Congress draft bill reveals

Facebook is yet to find a regulatory breakthrough for its proposed digital project, Libra. However, if the United States Congress goes ahead with the proposal to draft a bill describing stablecoins, Libra could quickly fall under the wings of the Securities and Exchange Commission.

More Libra News


Bitcoin Weekly Forecast: Nothing to crow about

Bitcoin (BTC) attempted a recovery above $8,400 and resumed the decline into the end of the week.

Read the weekly forecast