Judging from the comments of top central bankers across Europe, it is clear that Facebook’s Cryptocurrency would not have an easy ride. Coming immediately after the large scale data breach which is still fresh in our minds, Facebook should expect to answer lots of questions. It would also need to regain the trust of hundreds of millions of people before they can trust it with their finances.

Already, financial regulators in the UK and Italy have said more disclosure would be needed if the Libra project is to get authorization. That means a lot more scrutiny of everything, even the encryption. France’s top banker has earlier questioned the legality of cryptocurrencies and expressed fears over its possible use for financial crimes. It is currently putting together a G7 task force to work out modalities for overseeing and regulating cryptocurrencies. The Chinese have earlier cracked down on Bitcoin and is most likely to reject any cryptocurrency it doesn’t control, especially one that originates from America. The Russians and many South American countries already oppose any kind of cryptocurrency.

And considering all these and the wide scale distrust of Facebook, one can ‘look’ at Libra and shake one’s head.

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