Zuckerberg Advocates Libra as the Perfect Opponent to Chinese Digital Currency

On October 23rd, Mark ZUCKERBERG, the CEO of Facebook, testified in front of the United States House of Representatives Financial Services Committee and pushed the idea that the Libra Association is the best tool to combat growing Chinese digital presence.

In his speech, Zuckerberg noted that most of the largest tech companies in the world are now located in China. In fact, he specified that 6 out of 10 of them were located in the Mainland. This gave these companies an insurmountable advantage on the global development of technology. Should they employ the help of the Chinese Central Bank Digital Currency (CBDC), it will be impossible for the United States to remain a dominant financial force across the globe.

Zuckerberg also mentioned the threats that financial investments from China will bring in developing nations across the world, mostly concerning the morality of Chinese foreign policy. It was outlined in his speech that Chinese corporations do not share the values of American ones, and therefore should be classified as threats.

The CEO of Facebook was not the only person who outlined the threat of Chinese digital currency. RBC Capital Markets analysts agree in this regard and believe that the CBDC will be a dominant force in China’s Belt and Road project, which aims to make a series of investments in developing nations, thus shifting their focus to the East rather than the West.