Altcoin News: US Lawmakers Suggested Facebook to Temporarily Suspend the Development of Cryptocurrency

June 19, 2019, by Marko Vidrih on ALTCOIN MAGAZINE

Member of the US House of Representatives from the Republican Party, Patrick McHenry, on Tuesday sent a letter to the chairman of the Financial Services Committee calling for a hearing on the new cryptocurrency initiative of the social network Facebook, Reuters writes.

“Facebook has data on billions of people and has repeatedly shown a disregard for the protection and careful use of this data,” she said in a statement. “With the announcement that it plans to create a cryptocurrency, Facebook is continuing its unchecked expansion and extending its reach into the lives of its users.”

The representative of the policy said that she was ready to talk directly to Facebook to get questions answered.

According to Reuters, the project was also criticized by a number of US lawmakers, including Senator Sherrod Brown, who called for the establishment of tight regulatory controls over Libra because of the risks associated with data security.

The head of the Financial Services Committee also asked Facebook to halt the development of the project until it is assessed by Congress and regulators.

According to The Block portal, a Facebook cryptocurrency division called Libra was registered with the American Network for Combating Financial Crimes (FinCEN) as a provider of money transfer services.

Against the background of recent events, some participants in the cryptocurrency industry have already expressed doubts that the Facebook project will generally reach the operational stage.

On Tuesday, several European politicians called for control over Libra, and the chairman of the State Duma Committee on Financial Market, Anatoly Aksakov suggested that in Russia the project needs to be banned.

Author: Marko Vidrih