With Libra, Facebook Moves Toward Becoming an Independent Nation

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With Libra, Facebook Moves Toward
Facebook has announced a plan to launch a new cryptocurrency named the Libra, adding another layer to its efforts to dominate global communications and business. Backed by huge finance and technology companies including Visa, Spotify, eBay, PayPal and Uber – plus a ready-made user base of 2 billion people around the world – Facebook is positioned to pressure countries and central banks to cooperate with its reinvention of the global financial system.

In my view as a social media researcher and educator, Facebook CEO Mark Zuckerberg is clearly seeking to give his company even more political power on a global scale, despite the potential dangers to society at large. In a sense, he is declaring that he wants Facebook to become a virtual nation, populated by users, powered by a self-contained economy, and headed by a CEO – Zuckerberg himself – who is not even accountable to his shareholders.

Facebook hasn’t behaved responsibly in the past, and is still wrestling with significant public concerns – and investigations – about its privacy practices, information accuracy and targeted advertising. Therefore, it’s important to see through the hype. People must consider who is reshaping the world, and whether they are doing it in the best interests of humankind – or whether they are just seeking to benefit the new class of elite technology executives.

Humanity needs ethical leadership, and time to think through the potential repercussions of rapid technological change. That’s why, in my view, Facebook’s cryptocurrency should be blocked by financial regulators until its design has been proved to be safe for all of global society.

With Libra, Facebook Moves Toward Becoming an Independent Nation 101
You might not want to trust this man. Anthony Quintano/Wikimedia Commons, CC BY
Understanding Libra
Technology companies are interested in a global currency that is native to the internet. That could allow companies like Facebook and Twitter to bring in more users to their platforms, and collect money from businesses who want to join the new system. They also want to siphon off business from the existing financial services industry. That sector is worth trillions of dollars, is enormously profitable, and yet has struggled to implement its own digital currency.

1xBit
The technical details of Facebook’s plans are still emerging, but it seems that the company is not seeking to compete with Bitcoin or other cryptocurrencies. Rather, Facebook is looking to replace the existing global financial system with an all-new setup, with Libra at its center.

The company may be counting on increased public interest in cryptocurrencies and financial technologies, and its market strength, to overcome objections. However, I don’t believe Facebook