Europe is trying to block Libra

The eurozone's largest economies are uniting to prevent the spread of the new Libra cryptocurrency fromFacebook in Europe.

France entered into an alliance with Germany, Italy,Spain and the Netherlands after a series of behind-the-scenes meetings to ensure a united front against the Libra project. The so-called “Paris Coalition” appealed to the EU Commission with a demand to completely ban the stablecoin.

However, officials have said Brussels would need a legal reason to ban Libra from being distributed within the EU, and there is currently no such reason. 

Diplomats are now preparing a statement to the EuropeanParliament on the inadmissibility of launching, distributing and using a stablecoin in the EU without the possibility of regulating it. European regulators are confident that Libra will lead to the loss of state sovereignty and control over state monetary policy. 

European leaders are not alone in their desire to ban Facebook's initiative. 

Zuckerberg also faces a difficult task inprotection of a crypto project in the USA. He testified before Congress last week on the issue, but many in Congress are still wary of Facebook's cryptocurrency initiative.