The German parliament and the federal government will block the development of the digital currency Libra and other "private stablecoins" in Germany, Spiegel reports with reference to parliamentarian Thomas Heilmann.

#Facebook und die Schweizer #Libra -Stiftung wollen ihre eigene Kryptowährung auf den Markt bringen. Nun stemmt sich die Bundesregierung dagegen. https://t.co/yJx3eSJveq

– SPIEGEL ONLINE (@SPIEGELONLINE) September 13, 2019

The large CDU / CSU coalition has already developed a strategy for regulating blockchain technology, and the government is ready to approve it. It will fix the ban of Libra and its analogues.

According to Heilman, who is in charge of drafting the document, central banks still coped well with inflation and crises, and the dominance of the digital currency provider will complicate the situation.

At the same time, the government does not exclude the possibility of creating its own digital currency and the Bundes-Chain blockchain, and is also ready to support the development of technology startups in this sector.

Earlier, Libra was criticized by German Finance Minister Olaf Scholz, and the head of the Bundesbank, Jens Weidmann, urged politicians not to limit innovation.

On September 12, Bruno Le Mer, France’s finance minister, said his country would not allow Libra to develop in Europe. A day later, he proposed the development of an EU digital currency.

The Libra Association believes that all problems with regulators will be solved, and the currency itself will be launched in the second half of 2020.

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