US dollar to be main currency underpinning Facebook's Libra: Spiegel

The US dollar will make up 50 percent of the basket of currencies backing Facebook’s planned digital coin Libra, with the euro, yen, sterling and Singapore dollar comprising the rest, Der Spiegel reported, referring to a letter from Facebook.

China’s yuan currency will not be included, which could help smooth the planned cryptocurrency’s path in the United States, where officials have raised concerns about the yuan’s growing stature as a reserve currency at a time when trade relations between the two economic powers are tense.

In a letter responding to a question from German legislator Fabio De Masi, Facebook said the dollar would make up 50 percent of the basket, followed by the euro with 18 percent, the yen with 14 percent, the British pound with 11 percent and the Singapore dollar with 7 percent, according to German news magazine Der Spiegel.

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Source: US dollar to be main currency underpinning Facebook’s Libra: Spiegel – Finance – Networking – iTnews