VanEck director Gabor Gurbacs says that the multitude of companies abandoning Facebook’s Libra Association are being coerced into the decision.
Following PayPal’s decision to leave the Libra Association last week, the nascent digital currency platform has experienced a mass exodus, with MasterCard, VISA and eBay also saying goodbye to the project. However, VanEck’s director says there are ulterior motives at play.
According to Gurbacs, there is growing concern for Facebook’s ability to overcome regulatory pressure. While leaked tapes from CEO Mark Zuckerberg indicated that the social media platform anticipated steep resistance, central banks around the globe have responded en masse with criticism for the digital currency.
The overwhelming pressure led Gurbacs to conclude that the capital markets “aren’t free,” and underscores the importance of cryptocurrency,
> Every company that is leaving #Libra is likely, in some ways, forced to do that. It’s unfortunate and I am sorry that capital markets aren’t free.
> Now you have a first hand understanding why censorship-resistance is important!
— Gabor Gurbacs (@gaborgurbacs) October 11, 2019
Gurbac’s VanEck, a previous frontrunner in the creation of the first bitcoin exchange-traded fund, withdrew its application ahead of the SEC’s most recent ruling, presumably out of frustration with the regulatory body’s continued position of denying approval.
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