Several financial regulators from across the globe have been expressing their concerns over the launch of social media giant, Facebook’s latest cryptocurrency project. While Facebook intends to serve the unbanked all around the corners of the world, the SEC along with other financial watchdogs have been constantly delaying the launch of the project. The CEO of the popular social media platform, Mark Zuckerberg testified before the House Financial Services Committee about the Libra project.
In his testimony, Zuckerberg revealed that the Libra Association was independent of Facebook. Facebook had previously announced that it would establish Libra in Switzerland and Zuckerberg further said,
“We are not going to launch anything that is a product or a part of this (Libra) until we have full support from U.S. regulators regardless of what the international regulators say.”
Apart from serving people from every corner of the world, Zuckerberg pointed out that Libra was partly created to compete with the other countries in the financial world. The project aims at achieving a better payments platform as Zuckerberg believes that the current financial infrastructure of the U.S. is antiquated.
Amidst this, Congressman McHenry posed a question before Zuckerberg and asked him,
“Why not just do a Facebook version of Alipay in order to level this (international competition)?”
Zuckerberg answered this question by highlighting how Chinese payments companies were developed on newer infrastructure, which wouldn’t be similar to that of the U.S. While he further went on to point out how China joined hands with Alibaba as well as WeChat to release Digital RMB soon after the announcement of Libra.
Gemini shines; Binance, Coinbase fall in CryptoCompare’s exchange rankings
Major cryptocurrency exchanges, Binance and Coinbase, have slipped in the revised version of a cryptocurrency exchange ranking list. The data, compiled by crypto-asset data provider CryptoCompare, was titled ‘CryptoCompare Exchange Benchmark Q3 2019,’ and used a new metric for the latest edition. The tool, dubbed the ‘Exchange Benchmark,’ rested on 30 factors, including the team behind the exchanges, the quality of their markets, their geographical location, legal status, and data provision.
Released on 19 September, Winklevoss twins’ crypto-platform Gemini dominated the chart and was graded AA, followed by ItBit at second, Coinbase at third, and Kraken on the fourth position. Notably, Coinbase had previously dominated the June crypto-exchange rankings and was rated AA. Bitstamp, Liquid, OKEx, Poloniex followed suit, and were rated A.
Bitfinex, one of the world’s largest Bitcoin exchanges, was ranked 10th and graded A. Interestingly, Bitfinex wasn’t even in the top 10 of the previously released rankings.
Binance was positioned as the 12th most-trusted exchange with 10.5 points awarded for security. The Malta-based platform slipped four positions since June, when the exchange was ranked 8th. The reason behind the same may be in light of the security breach in May, wherein 7,070 Bitcoins were stolen by hackers in a single transaction.
Additionally, the updated Exchange Benchmark noted that top-tier exchanges graded between AA-B accounted for 33% of the global trading volume. However, lower tier exchanges rated between C-E made up for 67%.
Talking about the Exchange Benchmark tool which is essentially meant to combine both qualitative and quantitative metric data without using volume directly, Charles Hayter, Co-founder and CEO of CryptoCompare, said,
“Our second Exchange Benchmark now includes a vastly expanded set of exchanges and even more granular analysis to enable market participants and new entrants to identify the best trading venues worldwide.”