The head of Facebook’s controversial new cryptocurrency project explains why you don’t need to trust Facebook for it to work (FB)

david marcus facebookREUTERS/Erin Scott

David Marcus, the Facebook executive heading the firm’s cryptocurrency efforts, says that the system is designed in such a way that it doesn’t matter whether or not you trust Facebook.
That’s because it’s the Libra Association, which was formalized on October 14, that’s tasked with governing the network, not Facebook.
He also reiterated that the currency will not launch until it meets the proper regulations and the association has had the chance to address lawmakers’ concerns.
The comments come as Facebook’s cryptocurrency plans have come under intense scrutiny from regulators, who have urged the social giant not to move forward with the project.
A number of Facebook’s launch partners recently backed out of the project after facing pressure from officials, such as Stripe, Visa, and Mastercard among others.
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WASHINGTON, DC — Facebook’s ambitious plan to launch a new digital currency, known as Libra, seemingly began to unravel earlier this month when several of its founding members — including major players in the personal finance and payments industries like Visa, Mastercard, and Stripe — backed out of the project.

The initiative has attracted heavy scrutiny from lawmakers who questioned how Facebook’s currency will be regulated and whether the company should be trusted to develop its own currency given its history of privacy scandals. But Facebook hasn’t faltered — instead, it held a meeting in Geneva, Switzerland, on October 14, where the remaining 21 members of the association met to formalize the council and elect a board of directors.See the rest of the story at Business Insider

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