Facebook crypto chief says company does not expect 'to make money at the outset' with Libra currency

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In his prepared testimony for Tuesday's Senate banking committee hearing, Facebook's David Marcus tells lawmakers that the Libra currency will be secure.

The company has acknowledged concerns about its cryptocurrency ambitions, following a series of privacy scandals in the last couple years that tarnished the public's trust in Facebook. Marcus has has attempted to calm anxieties around Calibra by downplaying its financial incentive in the project and instead emphasizing its social mission.

"Our first goal is to create utility and adoption, enabling people around the world — especially the unbanked and underbanked — to take part in the financial ecosystem," said Marcus, who joined Facebook from PayPal in 2014 and began working on the company's blockchain project last year. He said that Facebook won't make money in the early phases of Calibra and will ensure that "customers' account and financial information will not be shared with Facebook, Inc.

Marcus will address the Senate Committee on Banking, Housing and Urban Affairs on Tuesday. According to his prepared remarks, Marcus is focused on addressing concerns about both Facebook's goals with Calibra and cryptocurrencies in general. After a number of crypto-related companies proved to be scams and investors lost money betting on niche coins, Marcus is assuring policymakers that Libra, the new currency, "is a payment tool, not an investment.

"People will not buy it to hold like they would a stock or a bond, expecting it to pay income or increase in value," Marcus said. "Instead, Libra is like cash. People will use it to send money to family members in other countries, for example, or to make purchases."

 

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The plan of Facebook is to take currency system away from nations.

Who cares about the outset.

I'd wager that it will come with a downloadable program that system back-end mines BTC for their benefit, not yours.

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