It’s been around a month since Facebook unveiled its upcoming stablecoin, Libra and published its whitepaper for the world to see. But already, the social media giant has been forced to address a growing number of fake communication associated with its digital currency.
There have been several “fake accounts, pages, and groups,” claiming to be official Libra outlets have popped up almost out of nowhere on Facebook and Instagram. Furthermore, this is just the icing on the cake to many of the growing list of websites claiming to be already selling the Libra tokens.
These false advertisements for Libra near enough always contain the Facebook logo and further branding of the social network giant.
Speaking in a statement to the Washington Post earlier this week, a spokesperson said:
“Facebook removes ads and pages that violate our policies when we become aware of them, and we are constantly working to improve detection of scams on our platforms.”
One thing you’ve got to keep in mind is regulators and governments will have their beady eye focused directly onto Facebook and everything they do.
The laid back approach from Facebook is keeping its platform free of fake ads and scams might not be a huge issue at the minute but after the stablecoin is officially released, we can only assume that this will become a serious issue.
The economics professor at Cornell University, Eswar Prasad has said:
“There is a deep irony here in Facebook being used as the platform that could undermine trust in the currency Facebook is trying to build trust in.”
Earlier in July, the head of Calibra was involved in a hearing regarding the stablecoin where he faced several questions on the currency. The main questions that David Marcus was asked were in regards to trust and privacy. In fact, there were 69 questions in regards to this matter.
Facebook’s cryptocurrency has been under fire since before it was even officially announced with these two issues being the highlights.