Bundesbank Chief Voices In Favor Of Facebook’s Libra

During a latest G7 conference, Germany’s central bank Chief Jens Weidmann opined in favour of Facebook’s Libra. Weidmann, president of the Bundesbank and part of the Governing Council of the European Central Bank, stated that the initiative shouldn’t be suppressed by regulators across the world in its beginning, per an email newsletter released on 19 July by eToro chief market analyst Mati Greenspan.

As per the email, during a latest G7 conference, Weidmann supposedly endorsed the Libra initiative, stating that if they accomplish whatever they pledge, crypto currencies like Libra could be appealing to customers.

The Bundesbank leader requested the authorities across the globe to give space for projects such as this, highlighting the emerging phase of the Libra’s creation and caution against unintentionally quashing creative ideas before all the relevant information is disclosed.

Burkhard Balz, a delegate of the Bundesbank, earlier asserted that crypto is not a danger to financial security. In the meantime, finance ministers from the G7 have lately mentioned that if cryptocurrencies like Libra are not strictly controlled, they present hazards to the global financial structure.

French finance minister Bruno Le Maire supposedly said at a press briefing on July 18 that G7 “cannot tolerate personal firms issuing their own currencies without democratic control.”

Weidmann’s latest encouraging statement for Libra distinctly refutes a few of his earlier comments on cryptocurrencies. Weidmann voiced worries at the end of May about the possible hazards of cryptocurrencies, such as destabilization of financial infrastructures. The representative opined at that moment that easy availability of cryptocurrencies could fuel crash of financial institutions and even modify their business model even in a sound economic situation.