The Head of Facebook Mark Zuckerberg gave a speech to the United States House Committee on Financial Services. During the speech, he noted that Facebook will not launch the Libra payment system until it receives the approval of US regulators.
Libra does not intend to replace sovereign currency but will serve exclusively for online payment systems.
He also assured that access to the financial data of Calibra wallet users will differ from access to the social network users’ data.
Calibra will not share customer account information with Facebook unless it is necessary to prevent illegal activity.
Zuckerberg emphasized that Facebook does not sell user data and does not share it with third parties.
“We use transaction information to improve the quality of services, including advertising, but we do not use user account data for advertising,” he said.
Committee members called on Facebook to suspend plans until lawmakers set up regulations and move the Libra Association from Switzerland to the United States.
“I demanded a moratorium on libra, and Zuckerberg said that the launch of a new project will not happen until a regulatory body is created, which is not the same,” commented Maxine Waters, Chairman of the Committee.
During the speech, Facebook shares rose more than 2%.