Facebook News: Libra Cryptocurrency Launch Date Could Be Pushed Back Due To Regulatory Issues

Facebook's upcoming Libra cryptocurrency might see its June 2020 launch date postponed as it faces regulatory scrutiny around the world.

Bertrand Perez, the managing director of the Libra Association that oversees the cryptocurrency, told Reuters Friday that the June 2020 launch date was a "north star" and that "what is important is that we comply with the regulators and we need to make sure that they are on board with us and fully comfortable with our solutions."

Perez also said that the association still has to "answer lots of questions coming from regulators on both sides of the Atlantic, and from other parts of the world."

Earlier this month, the French finance ministry said that both France and Germany have agreed to block the Libra cryptocurrency and that "no private entity can claim monetary power, which is inherent to the sovereignty of nations."

In the United States, multiple officials have raised alarms about the cryptocurrency. Federal Reserve Chairman Jerome Powell has said that Libra "raises many serious concerns regarding privacy, money laundering, consumer protection and stability" and that these concerns "should be thoroughly addressed before proceeding."

Treasury Secretary Steve Mnuchin has said that Libra could be "misused by money launderers and terrorist financiers" and that the possible use of Libra by criminals is "a national security issue."

Libra was unveiled by Facebook in June, along with the digital wallet Calibra. The digital currency can be managed with a cellphone and is particularly aimed at the 1.7 billion people worldwide without access to a traditional bank account.