Log in
E-mail
Password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
New member
Sign up for FREE
New customer
Discover our services
Settings
Settings
Dynamic quotes 
OFFON

MarketScreener Homepage  >  News  >  Economy & Forex  >  All News

News : Economy & Forex
Latest NewsCompaniesMarketsEconomy & ForexCommoditiesInterest RatesBusiness LeadersFinance ProfessionalsCalendarSectors 
All NewsEconomyCurrencies / ForexCryptocurrenciesEconomic EventsPress releases

U.S. dollar to be main currency underpinning Facebook's Libra - Spiegel

share with twitter share with LinkedIn share with facebook
share via e-mail
0
09/20/2019 | 01:11pm EDT

BERLIN (Reuters) - The U.S. dollar will make up 50% of the basket of currencies backing Facebook's planned digital coin Libra, with the euro, yen, sterling and Singapore dollar comprising the rest, Der Spiegel reported, referring to a letter from Facebook.

China's yuan currency will not be included, which could help smooth the planned cryptocurrency's path in the United States, where officials have raised concerns about the yuan's growing stature as a reserve currency at a time when trade relations between the two economic powers are tense.

In a letter responding to a question from German legislator Fabio De Masi, Facebook said the dollar would make up 50% of the basket, followed by the euro with 18%, the yen with 14%, the British pound with 11% and the Singapore dollar with 7%, according to German news magazine Der Spiegel.

Calls by Reuters to De Masi, the legislator who received the letter, were not immediately returned.

The Swiss-based Libra Association, the non-profit organisation comprising Facebook and 27 other members that plans to launch and oversee the currency, declined to comment on the specific breakdown of the "Libra Reserve".

But it said the reserve was expected to be a pool of cash and very short-term government securities denominated in U.S. dollars, euros, yen, sterling and Singapore dollars.

Facebook's planned Libra is the most well-known of the stablecoins, cryptocurrencies backed by assets such as traditional money deposits, short-term government securities or gold. They have the potential to be less volatile and more of a mainstream asset than existing cryptocurrencies like bitcoin.

Regulators around the world have reacted with extreme wariness to the proposal, with central bankers warning they could have a destabilising effect on the global financial system.

(Reporting by Thomas Escritt; Additional reporting by Brenna Hughes Neghaiwi in Zurich; Editing by Pravin Char)

Stocks mentioned in the article
ChangeLast1st jan.
AUSTRALIAN DOLLAR / JAPANESE YEN (AUD/JPY) -0.40% 73.161 Delayed Quote.-4.98%
BITCOIN - EURO -0.19% 7384.725 End-of-day quote.120.25%
BITCOIN - UNITED STATES DOLLAR -0.23% 8151.5485 End-of-day quote.113.44%
BRITISH POUND / JAPANESE YEN (GBP/JPY) -0.58% 137.805 Delayed Quote.-2.29%
CANADIAN DOLLAR / JAPANESE YEN (CAD/JPY) -0.26% 82.17 Delayed Quote.1.99%
EURO / BRITISH POUND (EUR/GBP) 0.50% 0.8696 Delayed Quote.-2.76%
EURO / JAPANESE YEN (EUR/JPY) -0.11% 119.853 Delayed Quote.-4.98%
FACEBOOK 3.06% 188.89 Delayed Quote.44.09%
JAPANESE YEN / SWISS FRANC (JPY/CHF) 0.01% 0.9169 Delayed Quote.2.91%
NEW ZEALAND DOLLAR / JAPANESE YEN (NZD/JPY) -0.45% 68.204 Delayed Quote.-7.29%
UNITED STATES DOLLAR (B) / CHINESE YUAN IN HONG KONG (USD/CNH) 0.24% 7.102 Delayed Quote.3.13%
US DOLLAR / JAPANESE YEN (USD/JPY) -0.15% 108.622 Delayed Quote.-1.12%
share with twitter share with LinkedIn share with facebook
share via e-mail
0
Latest news "Economy & Forex"
03:48aTURKSTAT TURKISH STATISTICAL INSTITUTE : External Trade Statistics by Enterprise Characteristics
PU
03:48aTURKSTAT TURKISH STATISTICAL INSTITUTE : House Sales Statistics
PU
03:47aTECHNICAL FOUL : Chinese traders in online sneaker market punish NBA after Hong Kong controversy
RE
03:45aChina January-September Outbound Direct Investment Up 3.8% on Year
DJ
03:44aSouth Africa's rand tumbles 1% as Eskom plans nationwide power cuts
RE
03:43aAs the beer flows, so does the economy, as consumers keep growth aloft
RE
03:33aOPEC ORGANIZATION OF PETROLEUM EXPORTING COU : daily basket price stood at $59.62 a barrel Tuesday, 15 October 2019
PU
03:29aLatitude CEO disappointed KKR pulled IPO due to low price
RE
03:28aCSO CZECH STATISTICAL OFFICE : Producer price indices - September 2019
PU
03:18aINFLATION DECREASED TO 1.2% IN SEPTEMBER 2019 (HICP : 1.2%)
PU
Latest news "Economy & Forex"