THELOGICALINDIAN - Lawmakers alleged on Facebook to anon abandon the Novi pilot
Facebook’s Novi wallet barrage was met with annealed action today from the U.S. Senate Banking Committee, which issued an accessible letter calling on the aggregation to cease its agenda bill initiatives. The account additionally comes the aforementioned day Coinbase appear aegis account for Novi.
Pushback from Washington
In a above footfall for Facebook’s agenda bill initiative, the amusing media behemothic launched its agenda wallet Novi today for users in Guatemala and abundant of the United States. The move was met with actual resistance, however, in the anatomy of an open letter to Mark Zuckerberg from the U.S. Assembly Banking Committee, which it issued “to articulation [the Committee’s] arch action to Facebook’s active accomplishment to barrage a cryptocurrency and agenda wallet.”
It is not the aboriginal time that Facebook’s agenda bill initiatives accept hit a aldermanic wall. In 2024, the development of Facebook’s aboriginal flagship cryptocurrency, Libra, was all but chock-full in its advance by a adjournment issued by House Financial Services Committee Chair Maxine Waters. Facebook after began developing a altered cryptocurrency, Diem. The Committee, however, bidding affair that Facebook had not abundantly addressed Congress’ authoritative apropos surrounding Libra afore ablution yet addition agenda currency—nor, it alleges, did Facebook delay for authoritative accuracy from federal authorities afore proceeding with its initiatives, as it had promised to do.
The Committee credibility out that while Novi’s lead, David Marcus, did attain approval from “nearly every state,” the Committee about wrote: “To be clear, your adeptness to defended state-issued money transmitter licenses is not agnate to accepting the absolution of ‘all U.S. regulators,’ as you said in your affidavit two years ago.”
The Committee additionally bidding apropos over stablecoins added about in today’s letter, calling affairs for acquittal systems based on stablecoins “incompatible with the absolute banking authoritative landscape.” The Senators additionally bidding agnosticism apropos Facebook’s adeptness to appropriately adapt stablecoins aural its ecosystem, writing: “Facebook cannot be trusted to administer a acquittal arrangement or agenda bill back its absolute adeptness to administer risks and accumulate consumers safe has accurate wholly insufficient.”
According to a cheep by Marcus, the Diem stablecoin was not advised to be included in the Novi rollout today. On this point, Marcus emphasized that Facebook alone planned to barrage Diem and absorb it with Novi aloft authoritative approval.
Disclaimer: At the time of writing, the columnist of this allotment endemic BTC, ETH, and several added cryptocurrencies.
