It has been quite some time since we’re hearing about the problems that Facebook’s Libra may face in India. Now, however, Facebook has itself declared that it has no plans to launch its cryptocurrency project in the country. The development has come after Economic Affairs Secretary Mr. Subhash Garg expressed skepticism about the project in a recent interview to Bloomberg. Here’s what he had said:
“Design of the Facebook currency has not been fully explained. But whatever it is, it would be a private cryptocurrency and that’s not something we have been comfortable with.”
After these comments, Facebook’s representatives came ahead and gave it back to the government. Here’s what a Facebook representative told Bloomberg Quint in an email response:
“There are no plans to offer Calibra in India. As you may know, there are local restrictions within India that made a launch of Calibra not possible at this time.”
It was almost like Facebook telling the government“You want to keep us out? We’re not coming ourselves!”, though in a polite and professional manner. Another Facebook representative Alexandru Voica from London also said something similar in an emailed response. He said:
“Calibra will respect the legislation. But we are looking to work with regulators to see if the legislation can be updated. The Libra Association is speaking to potential partners from around the world. The blockchain project has multiple uses in smart contracts, supply chain management and so on – it’s not just for cryptocurrencies.”
Now, this thing is a new bit of information here – that Libra project is for multiple use cases from supply chain management to smart contracts. Otherwise a majority of people were known to its cryptocurrency aspect only.
However, let’s come back to the point. Facebook has made it clear that it doesn’t plan to launch Libra in India for the time being. But given the fact that India is the largest market for FB, I’m sure that they’ll be working with our regulators behind the scenes to make a conducive environment for the launch of Libra (which is what has been hinted by Voica in his statement). So without getting too concerned, let’s wait and watch!