Libra Scams Get Ahead of the Facebook Cryptocurrency Launch
August 2, 2019
A digital currency from Facebook—what could go wrong? Rampant fraud, for starters, and that’s before cryptocurrency Libra has even been put into circulation. The Verge reports, “Libra Scams Are Already Proliferating on Facebook.” Writer Jon Porter reports:
“An investigation by The Washington Post has uncovered a dozen accounts, pages, and groups across Facebook and Instagram which misleadingly claim to be official hubs for Libra, Facebook’s proposed digital currency. In some cases these pages, which were only removed after WaPo reported them to Facebook, offered to sell Libra at a discount through third-party websites. Given the proliferation of cryptocurrency scams seen in recent years, it’s not surprising that scammers have descended on Libra given its widespread attention. However, it’s far more surprising that Facebook doesn’t seem to have been prepared for the influx of tricksters on its own service, especially as it struggles to assure regulators that it’s equipped to handle a global currency.”
Yes, the irony has been noted. Cryptocurrency scams have plagued Facebook’s platform before, so it is puzzling they did not take stronger measures to prevent this before even announcing Libra. The company employee in charge of Calibra, the Libra-associated digital wallet, has already been hauled into a Senate hearing. In The Next Web’s article, “Facebook Forced to Take Action Against Fraudsters Peddling Fake Libra,” writer Matthew Beedham tells us:
“Earlier this month, Facebook‘s head of Calibra, David Marcus, faced questions at a senate hearing. Marcus received numerous questions that interrogated many of Facebook‘s claims about its digital currency. Indeed, trust was a common theme and cropped up 69 times during the questioning.”
One representative went so far as to state she thinks Libra is so risky it should be ended before it even begins. Perhaps that would be wise, but what are the chances Facebook will embrace such wisdom?
Cynthia Murrell, August 2, 2019
Comments
-
- Subscribe to Beyond Search
Feature archive
News archive
-
