SEC’s strong supervision of stablecoin Facebook is destined to fight a “failure battle”?

US Securities and Exchange Commission (SEC) Chairman Gary Gensler recently accepted an interview with “Washington Post” columnist David Ignatius (David Ignatius) when talking about stablecoins The rhetoric is fierce. He believes that stablecoins are now like poker chips in casinos, and even use the “Wild West” analogy to claim that these chips will be placed on the casino table. There is no doubt that these remarks are likely to have a certain impact on Facebook, which is poised to issue stablecoins.

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In a recent interview, David Marcus, the head of “Facebook Coin”, mentioned this matter and begged people to give Diem a chance. David Marcus said when referring to the budding Novi Wallet that users do not need to worry about security or privacy issues. However, what Facebook has done in these two areas is actually not satisfactory, so Marcus is likely to persuade people to believe him in other ways.

Facebook wants to gain people’s trust 

In an interview with Yahoo Finance, Marcus said that they hope to dispel users’ doubts that Diem and Novi wallets are very safe. In addition, he stated that he will not use any data for advertising or Facebook advertising-related purposes.

Marcus pointed out that from the beginning, the Diem infrastructure was designed to avoid mixing financial and social data. In this way, there will be no disputes over the possession of various data of its users against a certain company. Marcus said:

“And you know, basically, the method we designed—in fact, it took us a lot of energy to build—to ensure that your financial data will not be mixed with your social data.”

At this stage, Diem is planning to enter the overseas retail payment market. Marcus said that this is a very huge market, and it is already very mature to sit back and enjoy it. Therefore, he hopes that people can give Diem a chance so that Facebook will do everything it can to change the impression that people don’t trust them.

Although in view of past scandals, he admits that it will be a long process.

“As time goes by, we are ready to slowly win back people’s trust and find opportunities to do other things during this period. But it will take time, and I know this.”

Comments from users

When it comes to mainstream social media today, Facebook is undoubtedly the best among them. Although Facebook is ridiculed as an “elderly” platform, it still attracts 2.9 billion monthly active users. This means that Diem’s ​​potential user base is larger than any current cryptocurrency user base.

And based on the current trend analysis, it is still growing. India, the United States and Brazil are the countries with the largest number of users.

Nonetheless, on the issue of trusting Facebook and Diem, the 16 comments to this article (so far) are overwhelming opposition. Although this may not represent everyone’s point of view, it still shows that all these commenters do not trust Facebook’s statement about financial data.

One of the users wrote about his concerns about political prejudice and censorship, which together constitute an untrustworthy factor.

“Looking back, Facebook has a history of political activism. They cooperated with the Democratic government to censor freedom of speech, so these two points make people feel that they are not trustworthy.”

Although Marcus explained that they have separated financial data from social data, another user is still skeptical of this statement. He said:

“Now they will track every purchase you make, then collect some statistics on the retail business, and then sell data on what people bought and where they bought it.”

According to previously disclosed information, the US Securities and Exchange Commission is preparing a report on stablecoins, and will also cooperate with banking institutions, especially in the supervision of stablecoins, because the regulators believe that stablecoins may have the attributes of investment contracts and have banking Products and other attributes, but banks currently don’t have the full range they need. All in all, Facebook’s idea of ​​shifting to the financial and cryptocurrency fields is understandable. But changing people’s hearts is not so easy.

 

Posted by:CoinYuppie,Reprinted with attribution to:https://coinyuppie.com/secs-strong-supervision-of-stablecoin-facebook-is-destined-to-fight-a-failure-battle/
Coinyuppie is an open information publishing platform, all information provided is not related to the views and positions of coinyuppie, and does not constitute any investment and financial advice. Users are expected to carefully screen and prevent risks.

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