Categories: Market

Elizabeth Warren and four US Senators ask Zuckerberg to stop Facebook’s Novi cryptocurrency wallet

Hours after Facebook tested the Novi cryptocurrency wallet with Coinbase and Paxos, US Senator Elizabeth Warren (D-MA) and four other senators warned CEO Mark Zuckerberg to end the project “immediately”.

Senator Elizabeth Warren (D-MA)

Novi launched a pilot program in the United States and Guatemala this morning (October 20) that will allow users to buy and trade Paxos dollars (USDP) instantly and with no fees. Coinbase provides Novi crypto custody services and will hold all funds related to the project.

Novi has not integrated Facebook’s long-awaited cryptocurrency “Diem”, but Elizabeth and senators such as Brian Schatz (D-HI), Sherrod Brown (D-OH) and Richard Blumenthal (D-CT) have not been able to appease this either. and Tina Smith (D-MN).

“Facebook cannot regulate payment systems or digital currencies if the company’s current ability to manage risk and ensure consumer safety has proven inadequate,” the senators said.

Facebook’s path to adopting wallets and stablecoins has been fraught with difficulties. In 2019, the giant had to undergo a series of Congressional hearings that put the original project called Libra on hold. Eventually a number of key partners withdrew from the Libra Association, Libra later changed its name to Diem and Facebook’s wallet Calibra changed its name to Novi.

Facebook has made it clear that the introduction of Novi is an important first step on the way to Diem’s ​​rollout:

“We plan to move Novi to the Diem payment network as soon as it has regulatory approval.”

It remains unclear whether 2021 will provide a more favorable environment for Facebook’s crypto ambitions. The 2019 hearings followed the Cambridge Analytica Facebook scandal (which collected personal data from 87 million users). Today’s warning may stem from what Facebook whistleblower Frances Haugen told the Senate Trade Committee a few weeks ago.

The senators demanded that Facebook immediately give up Novi and cancel any plans for Diem’s ​​future release.

“Facebook has consistently made conscious business decisions to continue taking actions that harm its users and society at large.”

Join Bitcoin Magazine Telegram to keep track of news and comment on this article: https://t.me/coincunews

Mr. Teacher

After decryption

Follow the Youtube Channel | Subscribe to telegram channel | Follow the Facebook page

CoinX

Recent Posts

Dogecoin Price Gets $5 Prediction, Shiba Inu To Rally 1,100%, And ETFSwap (ETFS) To Jump 135x

Here are the latest predictions for Dogecoin, Shiba Inu, and ETFswap.

19 mins ago

AVAX Hits $1B in DeFi, Cardano Expected to Surge—BlockDAG Leads with $110M Presale & 100% Bonus!

Discover BlockDAG's 100% bonus and $110M presale surge that’s sparking interest among crypto enthusiasts. Also,…

19 mins ago

Crypto Institutional Investors Move To ETFSwap (ETFS) Amid $500 Million Liquidity Injection Expectations

Discover why crypto investors are moving to ETFSwap (ETFS) as $500 million liquidity injection is…

3 hours ago

Buyers Rush to Maximise Gains with BlockDAG’s 100% Bonus Offer; Plus, ETH Holds Strong as Solana Challenges Rivals

Learn about BlockDAG's $110M presale achievement and the whopping 100% bonus offer, alongside Ethereum's growth…

5 hours ago

Thai Police Corruption Case Involving Officers and Extortion

Thai police corruption exposed as officers extort millions in USDT from a Chinese man under…

8 hours ago

SafePal Telegram Wallet Launches with Swiss Bank Accounts and CeDeFi

SafePal Telegram Wallet allows 950 million users to create compliant crypto-friendly Swiss bank accounts, integrating…

9 hours ago

This website uses cookies.