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Vestager Fears Libra’s “Closed Financial System”

 |  April 21, 2020

Margrethe Vestager, the European Commissioner for Competition, is asking robust questions of Facebook over its proposed leap into cryptocurrency.

The questions embrace whether or not Libra shall be an open platform for commerce, what currencies shall be accepted, and whether or not organizations or people who use the foreign money will get “a particular benefit.”

The feedback was made in an interview with Denmark’s Finansforbundet, picked up by Bloomberg. “It’s a brand new factor that we’ve begun to ask questions on one thing that doesn’t but exist,” Vestager mentioned.

Regardless of these unknowns, Vestager is preserving an open thoughts to a variety of potential outcomes at launch “There could also be an issue that you simply get a very closed ecosystem that has nothing to do with the remainder of the financial system,” she mentioned, later including, “[Y]ou can do it in a approach that’s open to competitors, when it comes to the way in which you pay.”

The European Commission launched an investigation into the Libra Affiliation’s potential anti-competitive conduct in August. The scope of the investigation consists of the impression on customers’ information and the mixing of Libra into Facebook owned Whatsapp and Messenger.

Full Content: Sunrise Read

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