Facebook’s Libra May Consider Launching Multiple Stablecoins Pegged to International Currencies

Facebook vice president of messaging products David Marcus speaks at the WSJD Live tech conference in Laguna Beach, California on October 18, 2017. / AFP PHOTO / Glenn CHAPMAN (Photo credit should read GLENN CHAPMAN/AFP/Getty Images)

Facebook’s cryptocurrency Libra currently only allows dollar-denominated stablecoins, but project leader David Marcus attended a bank seminar a few days ago, indicating that Libra is creating a more efficient payment system. At the same time, the project will remain open, and other currencies will be used on Libra in addition to the US dollar.

Marcus pointed out that Libra can accommodate currencies such as the US dollar, the euro, and the pound, rather than just a single currency. “This is one of the options that should be considered.” He believes that Libra needs to show great flexibility in accommodating other currencies. And the most important thing is to provide an efficient payment system. Under this premise, any method can be considered.

In summary market news, Libra will support the value of its cryptocurrency through a basket of assets, including the US dollar, euro, and yen. However, according to the current company announcement, Libra tokens will only be denominated in US dollars. Marcus also revealed that tokens will still be launched in June 2020, but may be delayed due to regulatory factors.

Earlier, the Libra committee, which was originally composed of 28 companies and institutions, had only 21 remaining members after the seven founding members withdrew due to regulatory risks. At the same time, multinational regulators are also concerned about the risks they may pose to the financial system, which has hindered Libra’s development, and Marcus also reiterated that the project will be released after all the regulators’ concerns have been released and approved.