Facebook Registers Libra Networks in Switzerland

In a report published on May 17, Reuters said that social media giant Facebook registered a new company, named Libra Networks, in Geneva earlier this month. The news coincides with the much-awaited native cryptocurrency that will mark the firm’s dive into blockchain technology.

According to Reuters, Facebook Global Holdings is a stockholder in Libra Networks, which will “provide financial and technology services and develop related hardware and software, plans submitted on the Swiss register reveal.”

Facebook has been marching into blockchain in a slow and steady manner. The social media giant just hired two Coinbase compliance managers last week.

The Libra project also got the attention of Congress. US lawmakers sent an open letter to the firm requesting for an explanation on the currency’s purpose and implications:

“The Wall Street Journal recently reported that Facebook is recruiting dozens of financial firms and online merchants to help launch a cryptocurrency-based payments system using its social network. Last year, Facebook asked U.S. banks to share detailed financial information about consumers. In addition, privacy experts have raised questions about Facebook’s extensive data collection practices and whether any of the data collected by Facebook is being used for purposes that do or should subject Facebook to the Fair Credit Reporting Act.”

Facebook refused to comment on the new company. Recent reports said that Facebook was purportedly seeking to raise $1 billion to build the technology.