Libra Association changes the core pattern to fit regulator’s standards

[vc_row][vc_column][vc_paragraph text=”Libra Consortium has made a few updates to the official document describing the adjustments to the original model. These updates have been made in response to regulator’s concerns about the project legitimacy.“][/vc_column][/vc_row][vc_row][vc_column][vc_heading title=”Regulatory pressure leads to alterations ” size=”medium”][/vc_column][/vc_row][vc_row][vc_column][vc_paragraph text=”On Thursday, 16 April, Calibra CEO David Marcus, described in detail on his Twitter the four core corrections of the “Libra” project description.”][/vc_column][/vc_row][vc_row][vc_column][vc_paragraph text=”The updates include the support of several Libra Stable coins backed by sovereign currencies such as LibraUSD, LibraEuro and LibraGBP. The support will be organized with preservation of resolution, creation of better compliance structure and development of more reliable reserve funds for user protection.”][/vc_column][/vc_row][vc_row][vc_column][vc_paragraph text=”In the updated official document the Association confirms that the governmental bodies and regulators expressed their concern about Libra project that can, in their opinion, disrupt the world financial system.
“][/vc_column][/vc_row][vc_row][vc_column][vc_paragraph text=”The relevant document reads as follows: “Although we have always aimed at complementing the system of printed money instead of competing with it, the main problem we‘ve met is that LBR multi-currency coin can interfere the monetary policy, especially if the network reaches enormous increase, and BLBR operates high volume of inner payments.”][/vc_column][/vc_row][vc_row][vc_column][vc_paragraph text=”This is why we expand the network adding mono lock stable coins in addition to BLBR”.”][/vc_column][/vc_row][vc_row][vc_column][vc_paragraph text=”In October, 2019 Calibra CEO spoke about the readiness to change the original prototype if regulators would be dissatisfied with the project conception.”][/vc_column][/vc_row][vc_row][vc_column][vc_paragraph text=”As already reported, Facebook and Libra Consortium aimed at improving their project that would support other virtual currencies and CBDC.”][/vc_column][/vc_row][vc_row][vc_column][vc_paragraph text=”Besides, LBR will act as an effective tool for cross-border payments, furthermore, it is also a “neutral low-volatility solution” for jurisdictions that currently have no one-currency network coins. “][/vc_column][/vc_row][vc_row][vc_column][vc_paragraph text=”The Association has also refused from the plans for network creation. “][/vc_column][/vc_row][vc_row][vc_column][vc_paragraph text=”Due to regulatory troubles that include unknown users deleting the core compliance provisions, the consortium has decided to keep the resolution still including some key characteristics of a network without resolution.”][/vc_column][/vc_row][vc_row][vc_column][vc_heading title=”Libra aims to get on the regulator’s “honor roll”” size=”medium”][vc_single_image image=”1034″ img_size=”full”][/vc_column][/vc_row][vc_row][vc_column][vc_paragraph text=”The Swiss financial regulator has recently accepted an application for licensing the payment system from Libra Association locates in Geneva.”][/vc_column][/vc_row][vc_row][vc_column][vc_paragraph text=”Facebook consortium initially submitted an application for licensing to Swiss regulators in September, 2019. In response, FINMA claimed that the list of services proposed by Libra was too wide for licensing. “][/vc_column][/vc_row][vc_row][vc_column][vc_paragraph text=”The Association also plans to register on The Financial Crimes Enforcement Network (FinCEN) as a company delivering financial services. Since the release of the official document, Facebook and the project have had a hard times. Libra was widely criticized by regulators, and that made some of members quit the project. “][/vc_column][/vc_row][vc_row][vc_column][vc_paragraph text=”FB even said that the stablecoin project may be cancelled.”][/vc_column][/vc_row][vc_row][vc_column][vc_paragraph text=”But in February, 2020 two members – Shopify and Tagomi entered consortium. In result, its total was brought to 22.”][/vc_column][/vc_row][vc_row][vc_column][vc_paragraph text=”David Marcus and other members of Association keep optimistic, and the crypto community is looking forward to the approval of the updated Virga technical document.”][/vc_column][/vc_row]