Ron Paul, former congressman, and ex. presidential candidate called cryptocurrencies a ‘great idea’. He likes competing currencies and is a long-time proponent of winding down the Federal Reserve and radically restructuring how US dollar is issued.
The Treasury Department has concerns that Libra, as well as Bitcoin, could be misused by terrorist financiers and money launders, to carry out illicit activities ranging from cybercrime to tax evasion, extortion, and ransomware.
Facebook blockchain lead David Marcus sent a letter to U.S. lawmakers in which he addressed multiple questions asked by the government. Facebook says it will respect consumer privacy and is willing to work together with regulators.
In another attack on the Libra developments, 33 lawmakers have requested Congress to ask Facebook to stop further development on Libra before they answer all their concerns and questions.
Facebook’s Libra project is drawing scrutiny from global regulators soon after the announcement last week. After the US, European regulators have asked the company to furnish more details about its cryptocurrency plans.
The chairwoman of the House Financial Services Committee Maxine Waters announced that the panel will hold the second hearing next month on Facebook’s plan to develop a cryptocurrency-based payments platform Libra.
France decided to create a G7 taskforce in order to examine the ways how central banks can regulate Facebook’s Libra.
The U.S. Senate Banking Committee will hold a hearing on July 16 about Facebook’s new cryptocurrency, Libra. The hearing came after members of Congress said there is a need to more closely examine Libra and its potential risks.
The original goals of Libra were decentralizing control of currency and enabling anonymous or at least pseudonymous payments. One of the top House Democrats wants Facebook to temporarily stop developing Libra Network.
According to the IRS, they are now working on comprehensive crypto taxation guidance, which will in-depth explore ‘acceptable methods for calculating cost basis, acceptable methods of cost basis assignment, and the tax treatment of forks’.