Libra Could Be A ‘Systemically Important’ Payment Platform, Says Bank Of England

Updated : 2019-10-09T23:50:18

In a statement made on Oct 8, the Bank of England (BoE) said that Libra is potentially a ‘systemically important’ payment platform, adding that it needs to be a regulated one as well.

The central bank’s Financial Policy Committee has pledged that British regulators will look into the functions of Libra and other payment firms, and address the question of applying traditional regulations to them.

According to the committee, “The resilience of the proposed Libra system would rely on the stability of not just the core elements of the Libra Association and Libra Reserve but also the associated critical activities conducted by other firms in the Libra ecosystem such as validators, exchanges or wallet providers.”