Zuckerberg: Facebook Would Quit Libra if the Association Launched Prematurely

WASHINGTON - Facebook CEO Mark Zuckerberg told lawmakers that the company would pull out of the Libra Association in the event the consortium launched its proposed cryptocurrency without all needed regulatory approvals.

In a hearing of the House Financial Services Committee Wednesday, Zuckerberg fielded pointed questions on a variety of controversial issues around the social network, from election meddling to housing discrimination to deepfakes.

The proposed price-stable cryptocurrency Facebook conceived and set up the association to run, was the foremost item on the agenda.

Specifically, Zuckerberg reiterated his commitment to satisfying regulators' concerns before launching Libra.

"You said that you won't launch without U.S. regulator approval. What happens if the association decides to launch despite that?".

"In such a scenario, he went on,"I would hope that [the] association will weigh our recommendation and what we say publicly that we think should happen.

"If we don't receive the clearances that we feel like we need to move forward and the association chooses to move forward without us then we will be in a position where we will not be a part of the association," said Zuckerberg.

As remote as the possibility may seem, Facebook wouldn't be the first member company to abandon Libra - Visa, Mastercard, PayPal and eBay all pulled out a few weeks ago.

When Rep. Ann Wagner asked why he thought they did so, Zuckerberg said: "It's a risky project."

Zuckerberg committed to preventing anonymous use of the Calibra wallet - but stopped short of promising lawmakers that the Libra cryptocurrency would never be used without identification.