Facebook cryptocurrency Libra offers opportunities, but also risks

On Tuesday, June 18, social media giant Facebook published its plans for its own cryptocurrency, the Libra. This move by Facebook immediately generated many responses worldwide. Not only from the crypto community, but also from politics worldwide.

Up to now, Dutch politics has remained fairly aloof in terms of Libra. But yesterday Minister of Finance Wopke Hoekstra was present at RTL Z to talk about Facebook and Libra.

Politicians from France, Germany and the United States spoke critically about Facebook’s plans. But what does Wopke Hoekstra think?

“Privacy and financial stability risk”

The Libra is not yet there, but there are already many discussions surrounding the area of ​​Libra and legislation. Hoekstra: “The legislator is always following developments. And this is a challenge. This innovation offers a window on the future, as it were. “

Minister Hoekstra continues: “We have to look at it very seriously. It offers opportunities, but also risks. For example, the stability in the financial system, or the risks in terms of privacy. “

“Facebook also has some privacy concerns. Innovations are good, but we have to keep a close eye on Libra when it comes to privacy and the stability of the banking sector. “

Hoekstra shares the opinion with the Bank of International Settlements on the latter point. This umbrella organization of the central banks states that Libra can pose a risk to the banking sector.