The European Commission investigates Libra coins: asking for a lot of questions about financial stability to counter-terrorism

Tencent Technology News For the US technology companies, the European Union's European Commission responsible for antitrust matters is a "frightening" organization, the European Commission has conducted a survey of a large number of technology companies such as Google, Microsoft, and opened "Astronomical digital fines." According to the latest news from foreign media, the European Commission has already intervened for the Libra coin that Facebook is preparing to issue, and has already raised a wide range of questions to Facebook.

According to foreign media reports, so far for Facebook's Libra currency program, Europe, France, Germany and other countries, as well as the European Central Bank and other institutions still stay in the "state of questioning" stage, has not yet launched a detailed investigation.

According to an authoritative media report in the UK, the European Commission has asked Facebook to answer a series of questions about Libra, including the risks to financial stability and privacy of the public data, as well as the company's subsequent compliance with anti-terrorism financing regulations and the prevention of money laundering by criminal organizations. ability.

The European Commission also wants to know how Librais will operate its reserve fund.

This question is part of a larger work plan for the EU to decide whether and how to supervise the Libra, of course, provided that Libra is allowed to operate in the EU.

There are still big obstacles to the operation of Libra coins in Europe. Previously, the European Central Bank's Benue Coe warned that the approval criteria for Libra coins would be “very high”.

In addition, recent government officials from France and Germany, two major European Union countries, have said that Libra coins will threaten the country's monetary sovereignty and should be banned from operating in Europe. In addition, these countries also propose to set up digital currency within the EU, and block the digital currency issued by technology companies in advance.

However, some objections do not mean that Libra will be rejected. Some European politicians believe that digital currency may be useful for cross-border payments. However, regulators have always wanted to reach a true EU-wide agreement, such as the liquidation of digital currencies in an EU country, which can effectively make certain digital currencies operate throughout Europe.

It should be pointed out that Libra coins are issued and regulated by the Libra Coin Association, but there is no such thing as a “central bank” for daily management. This digital currency is also a bitcoin-like cryptocurrency, and a large amount of transaction information is stored in A global blockchain network.

Foreign media pointed out that the European Commission’s large-scale investigation of Libra coins is not the time for Libra. Recently, Libra has just lost the support of PayPal. Although Facebook is not expected to be in trouble with its partners (it is expected that they will soon sign a Libra coin to launch a member statement), the combination of PayPal and EU doubts will inevitably raise doubts about the viability of digital currency.

According to foreign media reports, in September, the European Commission has said that it will conduct an anti-monopoly investigation on Libra, but the agency was only concerned with a small-scale target of anti-monopoly. The European Commission said it would investigate whether Librae would cause unfair competition in the market.

In order to avoid outside doubts, Facebook has repeatedly stressed that Libra is not a product of Facebook, but belongs to the entire Libra Coin Association. All companies can launch digital wallets and provide services related to Libra.

However, it is well known that Facebook has more than 2 billion users through four social tools, and it will obviously become the biggest beneficiary of Libra. The Libracoin digital wallet previously developed by Facebook has been exposed by the media, allowing users to make personal transfers or pay for e-commerce consumption. Facebook also hopes to gain another important income through Libra and Internet financial services, and get rid of its dependence on online advertising. (Tencent Technology Review / Cheng Hao)

Source: Tencent Technology