David Marcus: Libra will be more effective in the fight against money laundering than other payment networks

The effectiveness of applying regulatory sanctions in the Libra digital currency network will be higher than that of otherspayment systems. This was stated by Calibra CEO David Marcus during a speech at the Money 20/20 USA conference, Finextra reports.

«Digital payment technology is more traceable than when it comes to cash, and will be even safer, working in real time».- he explained.

He also recalled that thanks to the open registry, blockchain allows regulators to determine risks themselves, and not rely on organizations' reports.

Marcus emphasized that Libra is designed to beso that subject to compliance with the requirements of KYC and AML, any wallet can participate in the network. At the same time, Calibra will not necessarily be the most competitive of them, he said.

Regarding regulators' concerns regardingrisks that Libra may pose to the monetary policies of states, Marcus reminded that we are not talking about creating money. He called Libra “a new Internet payment channel” backed by real reserves.

Earlier, David Marcus expressed the idea of ​​including stablecoins based on various fiat currencies in the reserves of Facebook's digital currency.

Let us recall that FATF President Xiangming Liu believes thatLibra and other «stable» coins, if widely adopted, would hinder efforts to curb money laundering and terrorist financing.