The European Commission has opened an antitrust investigation into Facebook's Libra cryptocurrency. Authorities believe the coin could lead to an "unfair" exit of competitors from the market.
The EU is investigating Libra Association
As Bloomberg reports, the European Commission is investigating "potential anti-competitive behavior" of Libra.
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The Commission is allegedly concerned that Libra may create "restriction on competition" in the use and sharing of user data.
The investigation is at the first stage. So far, the European Commission is only questioning business and government on the possible consequences of Libra.
- Authorities around the world are interrogating Libra to assess the risks and threats of creating the cryptocurrency. In the US, for example, Facebook has repeatedly reported on Libra to the Senate. Lawmakers have even registered a bill to ban large companies from issuing coins.
- The European Commission already has one case against Facebook. Authorities are investigating whether the social network violated antitrust laws by "squeezing" competitors out of the banner advertising market.