Libra has failed in current form: Swiss president Ueli Maurer

WION Web Team BERN Dec 30, 2019, 06.37 PM(IST)

Facebook's Incorporation's digital currency project Libra Photograph:( Reuters )

Story highlights

Officials running the project, including co-creator David Marcus of Facebook, have said regulatory hurdles could see the launch delayed beyond the planned June date.

In a hit to Facebook’s digital currency plans, the president of Switzerland Ueli Maurer has said Facebook’s Libra project has failed in its current form and needs reworking to be approved, as the Cryptocurrency is seeking regulatory consent.

Plans for the Facebook-led digital currency, which is to be issued and governed by the Geneva-based Libra association, have raised concerns among regulators and politicians ranging from privacy to its potential to influence monetary policy and change the global financial landscape. 

Officials running the project, including co-creator David Marcus of Facebook, have said regulatory hurdles could see the launch delayed beyond the planned June date.

The cryptocurrency is to be backed by a reserve of assets such as bank deposits and government debt held by a network of custodians. 

The structure is meant to foster trust and avoid the price swings that plague other cryptocurrencies.