Swiss president Ueli Maurer told broadcaster SRF that Facebook’s Libra project has failed in its current form, CNBC reports. According to Maurer, the project will need to make serious changes if it hopes to gain the regulatory approval it needs to achieve its vision.
The Libra Association is currently working to gain that approval in Switzerland, but Maurer seemed to be suggesting that his country was unprepared to accept Libra as it is currently envisioned: His comments also indicated that he doesn’t expect other nations to accept the new digital currency payment system either, barring substantive changes in the program:
“I don’t think (Libra has a chance in its current form), because central banks will not accept the basket of currencies underpinning it.
The project, in this form, has thus failed.”
Libra’s design includes backing from a reserve that includes several different fiat currencies and other assets. Like other so-called stablecoins, that backing is intended to bolster price stability and increase user trust.
Despite ongoing resistance from policymakers around the world, Libra Association officials have repeatedly claimed that they still intend to launch the digital currency in 2020.