Facebook’s launch of its Libra cryptocurrency was never going to go through without scrutiny from lawmakers. Not long after the ambitious project was revealed by Facebook CEO Mark Zuckerberg, House Democrats are now calling on the company to put the development of its Libra cryptocurrency and its Calibra digital wallet on hold.
The House lawmakers argue that Facebook should put the project on hold so that Congress and regulators have enough time to investigate any potential risks that it may pose to the global financial system.
Rep. Maxine Waters (D-CA) has sent a letter today to Zuckerberg, Facebook COO Sheryl Sandberg, and Calibra CEO David Marcus, calling on them to put the project on hold. The letter is also signed by House Finance’s subcommittee leaders.
“If products and services like these are left improperly regulated and without sufficient oversight, they could pose systemic risks that endanger U.S. and global financial stability,” the letter states,” adding that “These vulnerabilities could be exploited and obscured by bad actors, as other cryptocurrencies, exchanges, and wallets have been in the past.”
Facebook hasn’t said if it’s going to give into the demand but a spokesperson for the company did tell The Verge that it’s looking forward to working with lawmakers, “including answering their questions at the upcoming House Financial Services Committee hearing.”