According to Coindesk, Mark Zuckerberg will address US Congress and tell them that Libra can bring financial services to the world’s 1.7 billion unbanked. Moreover, he is also going to say that if Libra doesn’t do it, then China’s new central-bank crypto will. This sounds like a threat.
Facebook’s CEO released the testimony he will give in advance of his appearance before the U.S. House of Representatives Financial Services Committee.
In it he says, “The current system is failing them. The financial industry is stagnant and there is no digital financial architecture to support the innovation we need. I believe this problem can be solved, and Libra can help.”
He will also highlight the backlash that the company has faced since the announcement of the Libra project. He says, “I believe this is something that needs to get built, but I understand we’re not the ideal messenger right now. We’ve faced a lot of issues over the past few years, and I’m sure people wish it was anyone but Facebook putting this idea forward.”
He will also warn Congress that if Libra doesn’t launch then the USA will lose its role as a financial leader on the world stage, and will again mention that China is likely to be the country that will fill that place. But, in a statement that is intended to assure members of Congress, he will say that Libra will not launch until “all U.S. regulators” approve of the project, and will support delaying any launch until this has happened.
Zuckerberg also makes it clear that Facebook is not playing a leading role in the Libra launch “given that the project’s governing council, the Libra Association, has now been formally signed into existence with 21 members.” He will also say that Libra has no intention of competing with sovereign currencies or with participating in monetary policy, writing that it “is the province of central banks.”
Zuckerberg even suggested that Libra may be better able to fight financial crimes than the existing system, noting that law enforcement agents can analyze on-chain activity and check know-your-customer information.