Facebook’s Libra cryptocurrency faces new hurdle from G7 nations

Facebook’s plans to launch its Libra cryptocurrency faced a new hurdle when the Group of Seven wealthy nations said such “stablecoins” should not be allowed to launch until the profound international risks they pose are addressed.
When launched on a wide scale, stablecoins – digital currencies usually backed by traditional money and other assets – could threaten the world’s monetary system and financial stability, a G7 working group said in a report to finance ministers gathered in Washington for the IMF and World Bank fall meetings.
The emerging technology, which like other cryptocurrencies is at present mostly unregulated, could also hinder cross-border efforts to deal with money laundering and terror financing, and throw up problems for cyber security, taxation and privacy, the report said.