“Facebook’s new cryptocurrency- Libra” was what the mainstream media had emphasized during the past the two weeks. Bringing some clarity to the table, David Marcus, the head of Calibra, stated in a note that Facebook will not control the network. Neither will the social media giant have a sole say in the matters pertaining to the currency or the reserve backing it. His statements distancing Facebook from Libra come at a time when U.S lawmakers sought to halt the Libra project, till they gain more clarity on it.
Despite Facebook Inc’s ownership of Calibra, the social media giant will have no access to the financial data from the wallet service platform on top of Libra blockchain, Marcus emphasized.
“You’ll be able to use a range of custodial and non-custodial wallets that will have full interoperability with one another”.
The underlying idea, according to the head of Facebook’s subsidiary, is that the Libra users “don’t have to trust Facebook”. His note further read that the team was very clear on its stance regarding “data separation”.
The concerns regarding data protection were speculated to cause major hindrances in Libra’s adoption. And Facebook’s tryst with users’ data breach invoked a general distrust among the general public. However, the above assertion by the head contradicted the Calibra customer protection document which detailed that it may “share account info and financial data with Facebook” under “limited” circumstances “without customer consent“.
The said document, that was released earlier in June against the backdrop of Libra’s unveiling, stated,
“The limited cases where this data may be shared reflect our need to keep people safe, comply with the law, and provide basic functionality to the people who use Calibra”
Marcus also specified that the project can substantially leverage Facebook’s tremendous tools and businesses for the flow of digital money and services and, in turn, the social media giant will be able to foster more commerce on its platform if the project succeeds.