The hearing will be a rare opportunity for US lawmakers to point an ax to the head of Facebook in public.
On October 9, the House Tax and Finance Committee announced that Facebook CEO Mark Zuckerberg will have a hearing before this committee on the controversial cryptocurrency project, Libra.
The hearing on October 23 was a rare opportunity for US lawmakers to point an ax at the head of Facebook to the public, focusing on clarifying the legality and impact of Libra on financial services; Internet regulations in the future – this could pose a threat to Facebook’s core business.
Zuckerberg’s willingness to meet with US lawmakers indicates he accepts the upcoming legal regulations and wants to be part of the discussions.
Facebook CEO’s remarks at the hearing could also play an important role in the antitrust investigations facing the world’s largest social network. The company is currently under investigation by the Federal Trade Commission for competition activities.
Mr. Zuckerberg’s acceptance to testify before the US Congress marked a change. In a July employee meeting recording obtained by The Verge news site, Zuckerberg told employees he refused to testify in front of some foreign governments because “that doesn’t really make sense. To me.”
Regarding the Libra project, the chairman of the US House of Representatives’ s Committee on Finance and Tax, Democratic Sen. Maxine Waters, once asked Facebook to suspend the deployment of the Libra cryptocurrency before the July hearing.
However, Ms. Waters was later dissatisfied with the lack of commitment from Facebook’s chief cryptocurrency officer, David Marcus, to postpone the launch of the cryptocurrency.
Since then, some authorities around the world have expressed concern about Libra, and one of the project’s early adopters, online payment company PayPal, announced it was withdrawing from the Libra Association – an organization created by Facebook to oversee the project.
Other partners like Visa, Mastercard and Stripe are considering similar moves to PayPal.