Facebook Libra Might Not Ever Launch, Concedes Firm

Facebook has acknowledged what many have been saying - that regulatory issues may be an insurmountable barrier to the launch of its Libra global cryptocurrency project.

In a frank disclosure in the firm's latest quarterly report to the U.S. Securities and Exchange Commission, the firm said that the many barriers it will face regarding regulating a new technology with unclear rules in the U.S. and other nations of the world, mean "There can be no assurance that Libra or our associated products and services will be made available in a timely manner, or at all."

"Our participation in the Libra Association will subject us to significant regulatory scrutiny and other risks that could adversely affect our business, reputation, or financial results," Facebook says.

Not only is Libra "Based on relatively new and unproven technology," the laws and regulations around digital currency are "Uncertain and evolving."

"Libra has drawn significant scrutiny from governments and regulators in multiple jurisdictions and we expect that scrutiny to continue," the SEC filing states.

As the firm says, the Libra project - which could potentially bring about crypto adoption to the billions of Facebook users - has caused something of an uproar in regulatory circles.

The G7 nations formed a task force to look into issues around cryptocurrencies, but with a steely focus on Libra.

"These laws and regulations, as well as any associated inquiries or investigations, may delay or impede the launch of the Libra currency as well as the development of our products and services, increase our operating costs, require significant management time and attention, or otherwise harm our business."

It cited the uncertainty of Libra taking off as a popular product as another potentially confounding factor, as well as it's own lack of "Significant prior experience with digital currency or blockchain technology."

"We will also incur increased costs in connection with our participation in the Libra Association and the development and marketing of associated products and services, and our investments may not be successful. Any of these events could adversely affect our business, reputation, or financial results."