Following testimony before the United States Business firm of Representatives Financial Services Committee earlier today, lawmakers are even so concerned about the possible launch of the Libra stablecoin.

On Oct. 23, legislators heard statements from Facebook CEO Mark Zuckerberg and posed questions covering a variety of topics from Libra to Facebook's data policies and reaction to possible foreign influences on the platform.

Following the hearing, the committee's chair, Maxine Waters, told Cointelegraph, "I don't back up Libra at all at this signal." Waters added:

"And it's not as if I support information technology if it does this or if it does that. At this point, I am non a supporter of Libra. I don't know what it is, I don't think that that has been adequately explained."

She went on to say, "I don't think that he [Zuckerberg] should be moving forward with this huge project — this big idea, with all these other concerns that have not really been resolved."

Proponents say prohibition could stifle innovation

A number of representatives on the Financial Services Commission stated that not interim fast on Libra could lead to the U.South. being left behind and losing its spot every bit a global leader in finance and innovation. Rep. Patrick McHenry began his comments by declaring, "Today is a trial on American innovation."

Specifically, the Facebook founder noted that China was working on a digital version of its national currency that, should information technology come to fruition before a dollar-backed project similar Libra, could threaten the economic and geopolitical position of the U.S., he claimed.

Zuckerberg besides said, "The financial industry is stagnant. In that location is no digital financial architecture to support the innovation that nosotros need. [...] I don't know if Libra is going to work, but I believe in trying new things."

In her statements after the hearing, Waters noted that she supports innovation, but beginning needs to know what the project is and how information technology operates before the authorities gives the green light to the Libra Association, which could manage a potentially staggering amount of wealth.

The Section of the Treasury is monitoring Libra

In a separate hearing yesterday, Secretary of the Treasury Steven Mnuchin stated that the Financial Stability Oversight Council (FSOC), which operates under the Treasury's purview, has created a working grouping to monitor cryptocurrencies and Libra.

Mnuchin added that participant institutions in the Libra Association may exist one avenue through which the FSOC regulates the project.