Leaked comments from an internal Facebook meeting in July show CEO Mark Zuckerberg addressing regulatory and customer identification concerns voiced by employees over the social media giant's new payment network, Libra.
In the closed-door staff meeting – held soon after Calibra chief David Marcus responded to lawmakers at hearings in the U.S. – Zuckerberg acknowledged that Libra has elicited large amounts of public criticism. However, he added, it's been relatively straightforward behind closed doors.
"The public things, I think, tend to be a little more dramatic," Zuckerberg said, according to The Verge, which published a transcript of the meeting on Tuesday. "But a bigger part of it is private engagement with regulators around the world, and those, I think, often are more substantive and less dramatic."
With illicit uses of Libra at the top of watchdogs' concerns, he moved on to talk about know-your-customer (KYC) verification for the new payment network, saying Calibra – the subsidiary developing a wallet app for Libra – and the Libra Association will have to do more to prove users' identities.
Echoing Libra co-creator David Marcus before Congress earlier the same month, Zuckerberg said money laundering and terrorism remain top issues to address. “There’s a lot of important issues that need to be dealt with in preventing money laundering, preventing financing of terrorists and people who the different governments say you can’t do business with," he said.
Perhaps indicating a change of stance after PR disasters like the Cambridge Analytica scandal, Zuckerberg said the company will is taking a more open approach to new initiatives.
“But part of what we’re trying to do overall on these big projects now that touch very socially important aspects of society is have a more consultative approach,” he concluded.
Mark Zuckerberg image via Facebook
The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG.