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Swiss financial authority says Facebook's Libra needs licence, international coordination

Thursday 12 September 2019 | 11:20 CET | News

The Swiss financial supervisory authority Finma said that it has received a request from the Libra Association, which oversees Facebook's planned crypto currency, to assess the classification of its project under Swiss supervisory law. 

According to Finma, the project Libra would fall under the financial market infrastructure regulation and it would require a payment system licence. The payment system would be subject to international standards and to the Anti-Money Laundering Act. Additional services will be subject to additional requirements, Finma said in a statement. 

In order to be granted a licence as a payment system, Libra has to bear the returns and risks associated with the management of the reserve. The authority noted that an international approach is necessary to regulate Libra, in particular for the definition of requirements for managing the reserve, the governance around it, and for fighting money laundering.



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Categories: Internet
Companies: Facebook
Countries: Switzerland / World
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