Following all the privacy and data-related scandals of Facebook, we’re sure that there were many who were surprised that the company was still bold enough to announce its Libra cryptocurrency which probably involves giving the social networking platform a fair amount of your trust.
It seems that not everyone is sold on the idea yet because in a report from Bloomberg, Facebook’s Libra Association is currently being investigated in the EU by the region’s antitrust regulators over potential anti-competitive behavior. For those unfamiliar, the Libra cryptocurrency is not solely owned by Facebook, but rather it is managed by the Libra Association in which Facebook is a member of, along with other partners.
According to EU antitrust regulators, they have expressed their concern that Libra could potentially shut out any rivals, creating an anti-competitive environment. That being said, this isn’t the first time that government bodies have expressed their concern over Libra. The US government had previously suggested that the Libra cryptocurrency could be used to fund terrorism, although to be fair, that is a concern over cryptocurrency in general and is not limited to Libra.
Facebook had also previously cautioned its investors that due to the immense scrutiny they are facing, there is a chance that Libra might not even make it off the ground.