During the currently taking place hearing session, between the Banking Committee of the US Senate and Facebook, regarding Libra, the senators came down on Facebook with questions about privacy and trust.
As previously reported by the CryptoSight, David Marcus – one of Facebook leaders and currently in charge of Calibra wallet – claimed that “Libra will cooperate”, in terms of trust and regulatory compliance, but still failed to persuade the lawmakers.
Senator Jon Tester asked whether Libra will be capable of providing assurances, to guard against fraudulent transactions or financial damage, along the line of credit cards or the Federal Deposit Insurance Corporation.
“we will do our best to resolve those types of issues and claims as quickly as possible.” Marcus replied, in response to the senator’s inquiry to have those issued handled before the project’s official launch.
Senator Sherrod Brown had a harsher attitude towards Libra, questioning if customers should entrust Facebook with their “hard-earned money”. Marcus claimed “Facebook has no special privilege”, and was interrupted with “Mr. Marcus, you know better than that.”
“If our country fails to act, we could soon see a digital currency controlled by others whose values differ radically from ours.” Marcus claimed when asked if there were any ways project Libra can be halted.
When the Committee chair Mike Crapo asked Marcus while Facebook chose Switzerland as its registration point, he assured that Libra will also be registered in the US. He further added that social and financial information should be kept individually on the Calibra network, as it “will have to have the highest standards in terms of privacy.”
“If a Facebook user wishes to use a wallet other than Calibra, will you make it easy to allow the export of other data?” Elizabeth Warren – presidential candidate senator who has a critical view on crypto – questioned Facebook.
“absolutely, Senator.” Marcus claimed. However, he hindered when the senator asked about the same issue on Whatsapp and Messenger.
“what Facebook’s been really good at is figuring out how to monetize people’s personal data […] I am not reassured by your statement that you can not see any reason right now why there would not be any data sharing between these platforms.” Warren concluded.