The Senate Banking Committee will hear arguments from Circle CEO and Co-founder, Jeremy Allaire on the digital currencies and the blockchain industry. Allaire hopes that a new regulatory framework will be adopted for the sector.
In recent news, Jamie Dimon from JP Morgan has said that he believes Facebook’s Libra isn’t a short-term concern of an impact on the traditional banks.
Rep. Maxine Waters said she’s planning to call in Facebook CEO Mark Zuckerberg to testify about his company’s new digital currency project Libra. She added that her staff has not made the formal request with Facebook yet, but they plan to do so.
Receiving no attention at the senate hearing on Tuesday, Bitcoin price tanked over 10% on Tuesday. There’s little to no positive response from the US lawmakers for Facebook’s Libra which has created an overall negative sentiment around Bitcoin as well.
Most of the commentators of yesterday’s David Marcus’s hearing agree that Libra is here to stay. The fact that it has been one of the most important discussions on the state level – says that cryptocurrencies are indeed becoming part of everyday life.
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.
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.