Trump lashes out Bitcoin, Facebook's Libra, argues they should face banking regulations

U.S. President Donald Trump said he is “not a fan” of cryptocurrencies as they are “not money” and suggested that Facebook may need a “new banking charter” if it plans to launch its cryptocurrency Libra.

In a series of Twitter posts, Trump said that cryptocurrencies are “highly volatile and based on thin air” and that “unregulated crypto-assets can facilitate unlawful behavior, including drug trade and other illegal activity.”

“If Facebook and other companies want to become a bank, they must seek a new Banking Charter and become subject to all Banking Regulations, just like other Banks, both National and International,” he wrote.

He concluded his argument, by saying that the nation will continue to see only one fully regulated, dependable, and the most tradable currency, which is the US dollar.

“It is by far the most dominant currency anywhere in the world, and it will always stay that way. It is called the United States Dollar!”

There are only speculations as to what prompted Trump to post those remarks. But the tweets were posted just a few hours following a White House session on social media, wherein he criticized tech giants like Google, Facebook, and Twitter for alleged bias against conservative voices.

Amid the growing list of political oppositions, Facebook is now bracing for its upcoming hearings next week at both the US House Financial Services Committee and the Senate Banking Committee to discuss issues and concerns about the Libra cryptocurrency project.

Meanwhile, Libra top executive David Marcus has attempted to ease worries and concerns by publishing a note on Facebook and writing a letter to policymakers to address “some questions and a few misunderstandings.”