Bank Of England Sets Rules For UK Libra Launch
The latest on Libra across the pond
Bank of England Sets Out Rules for Libra Launch in the UK
“The Bank of England has finalized a set of principles the Facebook-led Libra cryptocurrency project must adopt before going live in the UK.
Calling the payment network a potentially ‘systemically important payment system,’ the BoE’s Financial Policy Committee released the October Financial Policy and Summary report this week.
‘The FPC judges that such a system would need to meet the highest standards of resilience and be subject to appropriate supervisory oversight,” the committee says in the policy summary.
Significantly, the BoE says it needs access to be able to monitor payment chain information as one of its conditions. The FPC is calling on regulators to use “their powers accordingly” in light of the published principles.
The Libra Association and corresponding reserve of various fiat currencies underpinning the network are of prime importance, a more detailed document continues. Network participants, exchanges listing the Libra coin, and Libra-compatible wallets will also fall under scrutiny.”