Victor Ugochukwu · Oct 22, 2020 . 6min read
Facebook’s Libra hires Former HSBC CEO as Managing Director
The Facebook-backed Libra cryptocurrency project has appointed former HSBC European head James Emmett to lead Libra's operational unit.
By Komal Joshi · Sep 18, 2020 . 6min read
The governing body that will manage Facebook’s proposed cryptocurrency, the Libra Association, has hired James Emmett, former HSBC Europe CEO, as managing director of Libra Networks. He will lead Libra’s operating subsidiary tasked with running and developing the project’s crypto payments system.
Earlier this year, James Emmett left HSBC between a strategy overhaul. Libra network then hired James Emmet. He will now join the Libra Network as the new CEO and managing director on 1st October. Mr James Emmett employed his entire career at HSBC, managing the lender’s operations over Europe, Middle East, Latin America, and Canada. He served at HSBC for 25 years. He was the chief operating officer at the HSBC bank and the chief executive of HSBC Europe.
However, this is not the first time Libra has appointed employees from HSBC. In May, Libra hired Stuart Levey, HSBC’s former chief legal officer, as its CEO to manage the association overseeing the project. Levey was the first Undersecretary for financial and terrorism intelligence at the U.S Department of Treasury. He was one of the only a few high-ranking Bush administration officials asked to remain in his post by the Obama administration.
Challenges lined up for Libra.
In June 2019, Facebook launched the Libra project to the world. It revealed an ambitious vision of an autonomous, decentralized organization to manage the project and an easy-to-transfer, borderless means of exchange. Nevertheless, regulators and central banks had concerns, declaring that its new plan for a single coin supported by government debt and many currencies could consume the power and control national sovereignties over money if utilized widely by Facebook’s 2.7 billion active users.
Maximum countries are not content with Bitcoin and other cryptos because of similar threats. Additionally, cryptocurrency displays anonymity. However, customers have not overlooked the violation of trust issues confronting Facebook. Thus, Facebook surfaces an uphill task to refurbish customer trust around data privacy.
Additionally, the Libra project encounters rigorous competition from CBDCs issued by central banks and other stablecoins such as Tether. Libra cryptocurrency seems to have started a race against time. Central bankers worldwide have also issued alerts to the social giant over its digital currency ambitions. James Emmett enters the Libra Association amidst global debate across Facebook’s much-anticipated cryptocurrency.
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