Media: Libra stablecoin set to launch in January 2021

The Libra project team is preparing to release a digital currency in January 2021 in a ‘limited format’. Financial Times reports, citing sources familiar with the situation.

The stablecoin will not be tied to a basket comprising several fiat currencies, as the original concept envisaged. In April the Libra Association abandoned such an option due to pressure from US regulators and others.

Subsequently, in an updated white paper, the Libra Association stated plans to develop several stablecoins, each pegged to different fiat currencies – the US dollar, euro, British pound and the Singapore dollar.

FT sources said that in January Libra will launch a coin backed by the US dollar at a 1:1 ratio.

It is expected that the corresponding permission to operate as a payments service will be issued at the earliest in January by FINMA, the Swiss Financial Market Supervisory Authority. The issuance of coins pegged to other currencies is not ruled out in the future.

As of publication, representatives of the Libra Association did not comment on the report.

In October, the G7 finance ministers opposed launching Libra until proper regulation of the issuer.

Subscribe to ForkLog news on VK!