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I'm writing my representatives about Libra, and I would urge others to do the same. I think that it's an incredibly bad idea, even if you take Facebook out of t
by lazulicurio 7y ago
I'm writing my representatives about Libra, and I would urge others to do the same. I think that it's an incredibly bad idea, even if you take Facebook out of the picture. A supra-national currency controlled by a consortium of private companies? Hell no, no matter what "safeties" you build into the governing association.
Privately-issued currencies are a thing, but they tend to be localized, making Libra qualitatively different. And Libra is in no way comparable to payment processors, because those companies don't control the underlying value of the scrip.
The USG is by no means perfect, but I'd rather stick with the Fed than give the Libra association control over the world's currencies.
Edit: Imagine how incongruous the phrase "consumers can vote with their wallets" becomes when their wallets are owned by private companies.
- woah 7y agoWhat laws are they breaking?
- xtalh 7y agoPeople are just mad that it's Facebook doing this and probably succeeding where Bitcoin failed.
- lazulicurio 7y agoJust because it's not illegal doesn't mean it's not bad for society. Hence writing to Congress, whose job it is to make laws and regulations.
- mac01021 7y agoI share your concerns, but in a rather vague way. I struggle to describe concretely any undesirable scenarios likely to follow from the rise of Libra. I fear this limits my ability to influence legislators it anyone else when it comes to this issue.
- lazulicurio 7y agoFrom my perspective, the undesirable scenario would be Libra supplanting Government-issued currencies. As I added in my edit, the idea that companies are moderated by consumer choice breaks down when the companies control the means of transaction. Company towns with company currency used to be a thing, and not a good thing.
- ac29 7y agoOne undesirable scenario that comes to mind is the Facebook et al consortium deciding to break the peg after achieving a large balance of credits. As near as I can tell, there is nothing stopping them from de-valuing the currency at a whim in the interest of reaping a short term profit. Such things happen all the time with reward points/airline miles/etc.