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Libra has suffered a major setback French minister says Libra w

Date:2024-04-24 18:17:52 Channel:Wallet Read:
Libra, the digital currency project owned by Facebook, has suffered a major setback in Europe. Recently, French Minister of Economy and Finance Bruno Le Maire stated that Libra will not be allowed to develop in Europe. This statement aroused widespread attention and discussion, causing waves in the digital currency market. This article will provide an in-depth analysis of Libra’s fate in Europe and explore the reasons and implications behind the French minister’s opposition.
As a high-profile digital currency plan, Libra has been controversial since its release. The supporters behind it hope to promote the innovation of the global payment system through this project and provide more convenient and low-cost cross-border payment services. However, the French minister’s statement dealt a heavy blow to Libra and cast a shadow over its development in Europe.
In the eyes of the French minister, Libra is not an innovation that only has advantages and no disadvantages. On the contrary, he believes that Libra has potential risks and challenges that may pose a threat to Europe's financial stability and regulatory system. This concern is not unfounded, but is based on a deep understanding of the digital currency market and a keen insight into financial risks.
It can be seen from the French minister's statement that his opposition to Libra is not impulsive, but the result of careful consideration. This also reflects that European countries are gradually becoming more cautious and prudent in their stance in the field of digital currency. They are unwilling to see the uncertainty and risks brought by digital currency projects such as Libra impact Europe's financial order and regulatory system.
In Europe, the development of the digital currency market is at a critical juncture. Governments and regulatory agencies need to carefully assess the potential impact of each digital currency project to ensure that it does not harm financial stability and consumer rights. The French minister’s statement will undoubtedly have a profound impact on Libra’s development path in Europe, and also set a warning for other digital currency projects.
In general, Libra's major setback in Europe is not only the failure of a single project, but also an important event in the development of the digital currency market. It reminds us that innovation needs to be combined with regulations, and the development of digital currency requires more regulatory and policy support. Only with the joint efforts of all parties can digital currency truly realize its potential and bring more convenience and vitality to the global financial system. Libra's setback also shows us that the road to digital currency is not smooth and requires the joint efforts of all parties to go further and more steadily.

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French Economy and Finance Minister Bruno Le Maire said they will prevent social media giant Facebook’s cryptocurrency Libra from developing in Europe.

Le
Maire made the comments while attending the opening ceremony of the OECD Virtual Cryptocurrency Conference on Thursday. "We cannot authorize Libra to develop on European soil," he said. Since Facebook announced its Libra plan in June this year, Le
Maire was a staunch opponent of the project, saying at the time that Libra "cannot and will not become a sovereign currency."

Although the Libra Association, the administrator of the Libra project, is headquartered in Switzerland, it is actually difficult for France to prevent the development of Libra. However, France can ban applications that support Libra or prevent users from withdrawing the Libra stablecoin into legal tender.

Since its launch, the Libra project has encountered doubts and challenges from central banks, governments, and legislative and regulatory agencies around the world. But Le
Maire’s clear stance may be one of the biggest blows to Libra.

This week the Swiss Financial Market Supervisory Authority (FINMA) said Libra would be subject to financial market infrastructure supervision and be subject to additional regulatory requirements. The Libra Association is also seeking to obtain a payment system license from FINMA.

The Financial Action Task Force (FATF), the global anti-money laundering regulator, is also paying close attention to every move of Facebook’s planned cryptocurrency Libra. "We want to ensure that all possible major risks are addressed," Liu Xiangmin, the group's new rotating chairman and director-general of the People's Bank of China's Legal Department, told Reuters on Tuesday. He said illegal uses of cryptocurrencies may be spreading rapidly, ranging from money laundering to For drug trafficking, the currently known examples may be just the tip of the iceberg of real illegal applications.

Sigal, Under Secretary of the Treasury for Terrorism and Financial Intelligence, U.S. Department of the Treasury
Mandelker said in Geneva, Switzerland, that not only social media giant Facebook’s cryptocurrency Libra, but other cryptocurrencies operating in the United States or parts of the United States need to comply with regulatory rules designed to prevent financial crimes. “Whether it’s Bitcoin, Ethereum or Libra, our requirements for all these companies are the same: anti-money laundering and combating the financing of terrorism must be built into the design from the beginning.”

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