Facebook Executive Responds To Regulatory Concerns Over Proposed Cryptocurrency

A Facebook executive responded to regulatory concerns over the company's proposed blockchain-based cryptocurrency, "Libra."

In testimony before the U.S. Senate Committee on Banking, Housing and Urban Affairs, Facebook subsidiary Calibra executive David Marcus emphasized that Facebook will not release Libra until it has addressed regulatory concerns and received the necessary approvals.

Mr. Marcus clarified that, among other things:

• Libra is like cash and will serve as a payment tool, "not as an investment";

• Libra Reserve will be subject to its respective government's monetary policies;

• Libra Association does not intend to compete with sovereign currencies or engage in the "monetary policy arena";