Eurozone's largest economies come together to prevent the spread of the new Libra cryptocurrency from Facebook in Europe.
France entered into an alliance with Germany, Italy,Spain and the Netherlands after a series of backstage meetings to ensure a united front to combat the Libra project. The so-called “Paris Coalition” appealed to the EU Commission with a demand to completely ban a stable coin.
However, officials said that Brussels will need a legal reason to prohibit the distribution of Libra in the EU, and at the moment there is no such reason.
Now diplomats are preparing a statement in the EuropeanParliament on the inadmissibility of the launch, distribution and use of stablecoin in the EU without the possibility of its regulation. Euroregulators are confident that Libra will lead to the loss of state sovereignty and control over state monetary policy.
The European leadership is not alone in its desire to ban the Facebook initiative.
Zuckerberg also faces a daunting task toprotecting a crypto project in the USA. Last week, he testified in Congress on this issue, however, many congressmen are still distrustful of the Facebook cryptocurrency initiative.