One of the biggest news stories in 2019 was the fact that the world’s most popular social media platform was planning on releasing their own cryptocurrency called Libra. Needless to say, there were many people who had thoughts on the subject. This included some of the most powerful politicians on the planet. There was widespread concern that Facebook’s 2.4 billion users switching to Libra could destabilize the entire global economy. It has been almost one year since Facebook first made the announcement and Libra is still not close to being launched. No release date has been revealed as of yet.
There were many problems with Facebook’s Libra from the very beginning. It seemed like Facebook just assumed that everybody would love the idea that they were going to be starting their own cryptocurrency. When the idea was criticized by leaders around the world, the social media giant seemed genuinely surprised. They were not prepared for the overwhelmingly negative response. Obviously, many of Facebook’s partners in the Libra venture were not prepared for it either. Payment processing companies like Visa and PayPal bailed out and severed ties with Libra. This was a blow that Libra has not been able to recover from as of yet.
Libra has come under fire from world leaders. The governments of both France and Germany voiced their concerns about Libra. They went so far as to say that Libra would not not be allowed in those countries if it were ever released. Facebook is not used to having a failure in front of the entire world. Facebook CEO Mark Zuckerberg was grilled in front of the United States Congress about the details of Libra. After that happened, he announced that Libra will probably not be coming out in 2020 as the company had hoped.
Contrary to popular belief, Libra is not dead. Facebook still wants to move forward with the project at some point. However, there is no telling when that will be. There is a possibility that it might happen in 2021. However, Facebook realizes that they will need to make many modifications to their original plans in order to make politicians more agreeable. One of the biggest fears is that criminals will use Libra to commit crimes like financing terrorism and buying illegal items. Facebook needs to provide politicians with assurances that this will not happen. People laundering money and evading taxes using Libra is another concern for politicians.