In a recently held press conference, Treasury Secretary Steven Mnuchin said, “With respect to Facebook’s Libra and other developments in cryptocurrencies, our overriding goal is to maintain the integrity of our financial system and protect it from abuse.” He expressed his concern that Libra could potentially be used for terrorism, where due to the fact that cryptocurrencies are encrypted, they seem primed for illegal use.
In addition to terrorism, Mnuchin also said that it could potentially be used for other illicit activities such as tax evasion, extortion, ransomware, human trafficking, and more. However, Mnuchin isn’t shooting down the idea of cryptocurrency, and added that the US “welcomes responsible innovation, including new technologies that may improve the efficiency of the financial system and expand access to financial services.”
Whether or not Facebook has plans to deal with these kinds of issues with Libra remains to be seen, but the company did previously acknowledge that they would not be launching Libra until all regulatory issues have been resolved.
Filed in Cryptocurrency and Facebook. Source: cnbc. Read more about