Ever since Facebook unveiled its plans to introduce a new 'stablecoin' cryptocurrency called Libra, governments around the world have been up in arms, accusing Facebook of trying to undermine global financial stability, sideline fiat currencies and opening up a new avenue for criminals hoping to launder their ill-gotten gains.
Yesterday, Treasury Secretary Steven Mnuchin took this fearmongering a step further by warning that crypto could be a 'national security threat' and saying that the Treasury Department has "very serious concerns" about Libra (amusingly, the market promptly trolled Mnuchin by piling into bitcoin). And the House has already introduced a bill that would effectively killed Libra before it launches. Jerome Powell said during his Congressional testimony last week that he has "serious concerns" about Libra relating to money laundering, financial stability, privacy and other issues. And let's not forget the now infamous Libra/Libor mixup.
On Tuesday morning at 10 am, David Marcus, Facebook's articulate, press-friendly, head of Calibra (the FB subsidiary charged with overseeing the Libra project) will appear before the Senate Banking Committee for what we expect will be a brutal grilling as both Democrats and Republicans unite in their disdain of the project.
Watch the fireworks live below: