on the creation of a global cryptocurrency with the involvement of international financial institutions will be subject to verification by the US Senate Banking Committee on July 16. The internet giant's project has drawn the attention of regulators around the world and made politicians cautious about its prospects.
The committee announced on Wednesday that the hearing will address both the Libra digital currency itself and any related data privacy issues. According to the representative of the committee, the list of witnesses has not yet been announced. Reuters reports, citing a Washington source, that David Marcus, who oversees Facebook's blockchain efforts, is expected to testify.
Democratic Rep. Maxine Waters, who chairs the financial services committee, said Tuesday she also plans to call Facebook to testify, and while the project is being scrutinized by regulators, she has already asked the company to drop its plans.
Back in May, leaders of the Senate Banking Committee wrote to Facebook asking for information regarding rumors that the social giant was creating a cryptocurrency and for clarification on how the company intends to protect user data.
Facebook has faced serious backlash over its mishandling of user data and accusations of not sufficiently countering Russia's interference in the 2016 US presidential election. These issues have led some government officials to call for fines on Facebook.
On Tuesday, a Facebook spokesperson said they were looking forward to the opportunity to answer questions from the legislature. Facebook hopes to launch its own Libra-based Calibra service in the first half of 2020, which the company envisions will not only boost transactions between existing consumers and businesses around the world, but also provide access to financial services to unbanked consumers.
Source: 3dnews.ru