Altcoins News

Story: Libra Amplifies Discussion among Regulators Concerning Cryptocurrency Issue

By Maheen Hernandez

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While Libra is considered to be a cryptocurrency, it is a stable coin.  The only thing common between Libra and cryptocurrency is that both of them function on a blockchain.

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“A basket of bank deposits and short-term government securities” back the stable coins.  It is more like an ETF than a stable coin, which is backed by fiat.

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Elizabeth Baird, SEC Deputy Director was asked about stable coins and she gave a blunt reply stating, “I think they’re securities.”

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Valerie Szczepanik, SEC’s head of digital assets stated, that the stable coins “does not have an expectation of profits.”  He further felt that it does not matter.

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Libra investment token is different from Libra Coin, and it is hoped that the Facebook will become the de facto payment mechanism for the whole of the world. 

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The white paper states, “Libra’s mission is to enable a simple global currency and financial infrastructure that empowers billions of people.

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It is the desire of even the most law abiding citizen to keep away from taxes.  Using securities as a payment mechanism will come up with lot of potential use cases.

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Despite the faults and features, Libra is a step forward in financial innovation. The entrepreneurial world has been waiting for solutions, which will push the conversation of…

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Most of the inventions are not being used for their original intentions.  This might also be the case with Libra.

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Cryptocurrency is coming across greatest levels of institutional growth.  “Exchanges are changing their focus from retail traders to institutional traders, providing such…

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So, all of these have amplified the discussion among regulators concerning the “cryptocurrency issue.”

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