The Swiss-based association has chosen Stuart Levey, a specialist in the fight against terrorist financing and current General Counsel of the HSBC banking group, as its CEO. This announcement could prove decisive in negotiations between Libra and regulators.
Stuart Levey appointed General Manager of Libra
In a press release issued on May 7, 2020, Libra announces the appointment of Stuart Levey as its first Managing Director. In addition to his position as General Counsel at HSBC, he is known for having served as US Undersecretary for Terrorism and Financial Intelligence under the administrations of George W. Bush and then Barack Obama.
This appointment could play into the hands of the association, which is trying to convince regulators that the crypto-currency project launched by Facebook is framed and won't have the effect of encouraging trafficking and other money laundering. As a reminder, in April the organization submitted its application to the Swiss regulator with a view to obtaining a license as a payment system and launching Blockchain by the end of the year. "I look forward to working closely with governments, regulators and all our stakeholders to realize this vision," assures Stuart Levey.
New members join the Libra project
While Libra has just appointed its first CEO, three new members have joined the platform. They are Singaporean fund Temasek, which has made several Blockchain-related investments, and San Francisco-based venture capital firms Paradigm and Slow Ventures.
According to the association, these participations demonstrate its commitment to creating "a diverse group of organizations that will contribute to the governance, technology roadmap and rapid deployment of the Libra payment system".
Facebook's digital wallet becomes Novi
Furthermore, to further distance itself from the initial digital currency project, whose ambitions have now been scaled back, Facebook has renamed Calibra, the virtual wallet that will enable the Libra crypto-currency to be sent and stored, as "Novi". In a recent press release, the social network states that it intends to present an initial version of Novi as soon as the Libra network is available. The American giant promises " instant, secure international money transfers with no hidden fees ".
So, although the crypto-currency project launched by Facebook was roundly criticized by governments and regulators as a threat to their sovereignty and a boon to illegal activities, the appointment of Stuart Levey as Libra's CEO and the participation of new members in the project could change all that. The Swiss organization is now planning an official launch by the end of 2020, although the initial number of "stablecoins" has yet to be determined.