Senators grill Facebook on its plans for Libra cryptocurrency

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Senators grill Facebook on its plans for Libra cryptocurrency
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Facebook Inc is 'delusional' to believe people will trust it with thei...

WASHINGTON - Facebook Inc is “delusional” to believe people will trust it with their money, a U.S. senator said on Tuesday as lawmakers from both sides of the aisle grilled the social media company on its plans for a digital currency at a hearing on Tuesday.

Since then it has faced criticism from policymakers and financial watchdogs at home and abroad who fear widespread adoption of the digital currency by the social media giant’s 2.38 billion users could upend the financial system. The Senate Banking Committee is questioning David Marcus, the company’s top executive overseeing the project, on issues ranging from how Libra could affect global monetary policy to how customer data will be handled.

Marcus, who was president of PayPal from 2012 to 2014, tried to assuage concerns in his opening remarks by promising that Facebook will not begin offering Libra until regulatory issues are addressed. “We know we need to take the time to get this right,” Marcus, who is also due to testify before the House Financial Services Committee on Wednesday, said.

McSally asked Marcus how consumers could trust Facebook not to share their payments data. “I know we have to earn people’s trust for a very long period of time,” Marcus said.

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