Mark Zuckerberg says you can trust Libra because it has many partners.
Mark Zuckerberg provided some rare commentary on Facebook’s new Libra cryptocurrency project. CNBC’s Fast Money posted the soundbite to Twitter:
“Building a financial system is not the kind of thing that a company can do by itself. So we played a role in helping to stand this up.
But the Libra Association is an independent organization, and we will have one vote in it… By the time it launches, hopefully we will have 100 co-founding companies.”
Mark Zuckerberg’s Libra Assurances Are A Joke
The partner companies Zuckerberg references shouldn’t give consumers or businesses any more reason to trust Libra, certainly not more than they can trust decentralized, proof-of-work cryptos like bitcoin and Ethereum.
These are all corporations with a record of failing to protect their customers’ financial information. They can’t keep your money or information safe from the internet era’s inevitable data breaches. It’s not merely that they are inherently untrustworthy. (Although they might be.) It’s that all corporate finance carries inherent counter-party risk. This is especially true in the internet era.
Two of Libra’s biggest co-founders are Visa and MasterCard.