Even when the thought of Facebook going into the cryptocurrency business was still just a rumor, they were already facing criticisms regarding the situation as many felt that they did not belong in cryptocurrency and already distrusted whatever offering the venture would eventually produce. After the release of the Libra white paper and a confirmation of their desire to get into cryptocurrency, the criticism continued to pile on and this time, it came from many lawmakers across the world, some of whom believed the token would undermine local economies and others who feel that Libra can open the way for illegal activities.
Just months to the launch of libra, Bruno Le Marie, the French finance and economy minister, penned an op-ed for the Financial Times on October 17, 2019, in which he once again criticized libra.
Le Marie Voices His Opinion
One of Le Marie’s criticisms of Libra is that it will take away the power of the government in the creation of currencies and this, in turn, will undermine the government over their own jurisdictions. As a result of this, he has stated that he cannot support the Libra token.
“I cannot countenance one of a sovereign state’s most powerful tools, monetary policy, falling under the remit of entities not subject to democratic control,” he said.
He has previously stated that France as a jurisdictional cannot support the creation of the Libra token and the reason for this is due to concerns about its impact on the European Union financial powers. He has also said that Facebook’s Libra cannot expect to receive the same amount of trust as a central bank-issued currency.
“France’s position is clear: we want financial innovation to respect the sovereignty of states. Neither political nor monetary sovereignty can be shared with private interests,” he said.
While the Libra token has received both support and criticism, its announcement has pushed the topic of cryptocurrency to the forefront and more importantly, what the use of cryptocurrency means for the already existing financial systems and whether or not the time has come for them to be replaced by something else. Regardless of what developments take place with the Libra token, this is one for the history books.