(Bloomberg) -- Australia's central bank chief has a message for those waiting to use Facebook Inc.'s proposed cryptocurrency: don't hold your breath.
The social media network unveiled plans this week for Libra, a global financial system that will allow its more than 2 billion users to make everyday transactions online. When quizzed about its implications for Australia, Governor Philip Lowe -- already a long-time skeptic about cryptocurrencies -- suggested the project might be a long way off yet.
“There's a lot of water under the bridge before Facebook's proposal becomes something we're using all the time,” said Lowe, when asked about the implications for Libra at a Q&A session in Adelaide on Thursday.
“There are a lot of regulatory issues that need to be addressed and they've got to make sure there's a solid business case, so we've got to be careful before we jump to conclusions.”
Lowe was an outspoken critic of Bitcoin, the most well-known cryptocurrency, back in 2017. He described its ascension as “speculative mania” and said it was probably more appealing to criminals than consumers.
“I have long thought that a kind of cryptocurrency would not take off in Australia because we already have a very, very efficient electronic payments system that allows anyone of us to make bank payments to another person in five seconds just knowing their mobile phone number,” Lowe said Thursday.
To contact the reporter on this story: Chris Bourke in Sydney at cbourke4@bloomberg.net
To contact the editors responsible for this story: Nasreen Seria at nseria@bloomberg.net, Michael Heath
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