Mark Carney has proposed a crypto-currency, which is the approach of Facebook is similar to the dominance of the US dollar hedge. A former high official of the Federal Reserve thinks that he is on the wrong path.
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The Dollar’s Dominance
In the past month, the Governor of the Bank of England, Mark Carney, spoke out, in a radical proposal for a Revision of the global financial system for digital currencies. According to the former high-level fed officials Simon Potter this Plan, however, ignores some of the advantages of the dollar as a reserve currency.
According to Bloomberg, Carney said that the Dollar should eventually be through something like the Facebook’s proposed cryptocurrency Libra replaced. At an event hosted by the Peterson Institute for International Economics in New York, Potter defended this week the dollars.
“I see no Argument that makes sense to have something that complicated out there, if you have large, liquid capital markets in the United States. To have not a single currency in which you basically prices and a deep market, which makes the life for the world economy much more difficult.“
The Dollar is the world currently dominates the markets, as it is for many Central banks, the main foreign exchange reserve currency and for the settlement of international debts is used. As a result, America has benefited greatly from foreign investment.
The one thing that the two financial heavy weights agree, is that Central banks and politicians should retain control over the monetary system. It would not be in the interest of the Public or the Nation, to allow a for-profit, private Corporation this (even with crypto).
Facebook is again in the criticism
For this reason, Facebook has fallen in the last few weeks, from all sides under attack. It was reported that the Ministry of justice intends to investigate the Social Media giant, after it has been initiated by U.S. attorney General William Barr attached.
In addition to an investigation by the Federal Trade Commission, Facebook is also under attack, whether it has impaired competition in violation of antitrust law. The two regulatory authorities have been directed against four of the world’s largest technology giants for monopolistic practices. Apple, Amazon, Alphabet (Google) and Facebook are all in front of an additional Review of their business practices.
Text evidence: bitcoinis, Martin Young