On the eve of the hearings launching this week, a draft bill proposed by Facebook to release the Libra digital currency to the US Congress introduced a bill to the technology giants to create their own assets of this kind.
The document entitled Keep Big Tech Out Of Finance was submitted by the House Financial Services Committee and prohibits “creating, supporting or maintaining digital assets intended for mass use as a medium of exchange, accounting units or a means of accumulation.”
Technological companies with an annual income of more than $ 25 billion globally, which offer marketplace services, exchanges and platforms that help third parties to build connections, are proposed to be included in this category. Violation of the law involves a fine of $ 1 million per day.
Under this law, for example, get companies like Amazon and Facebook. In recent weeks, the focus has been on increased attention from regulators concerned about its plans to create a digital currency, Libra.
At the same time, representatives of the Bitcoin community believe that the adoption of such a law is likely to benefit the first cryptocurrency.
So, the co-founder of Morgan Creek Digital, Anthony Pompiano, believes that although the likelihood of passing the law is small, this is one of the best news for Bitcoin in recent weeks.
Commenting on the possibility of adopting this law, he added that although existing companies are unlikely to transfer business outside the country, new players will think twice before deciding to register in the United States.
Meanwhile, BlocktownCap’s managing partner, James Torado, said that world governments were very effective when it comes to closing alternative currencies, and they are now trying to implement the same scheme for Libra. Bitcoin, however, is different in that there is no company behind it that could be held accountable. At the same time, he did not rule out that governments may prohibit the possession of Bitcoin, by analogy with how it was done for gold in the middle of the 20th century.
Recall that the Libra hearings will be held in the US Congress on July 16-17.