Facebook met with the Libra project across Europe strong resistance, whether in politics or business and the citizens of the countries. A new survey reaffirms these results, pointing to continued high levels of people's trust in traditional institutions such as banks.
Between Facebook's Libra project and Google's new Google Pay-linked checking accounts, the tech giants are showing big plans to integrate into the digital finance world of Bitcoin and Co. But not many tech and financial experts will seize the opportunity to leverage such services, according to a new survey by Blind, an app-based "anonymous social network".
The published results show that more than 5,000 professionals from various companies, including Apple, Google, Amazon, Facebook and Uber, are skeptical. The study found that the overwhelming majority of professionals, around 62 percent, trusted "traditional banks" as "big tech" even earlier in their financial data. Of the tech professionals surveyed, 57 percent said they trust banks more than big tech companies, while nearly 70 percent of those working in finance said they favor traditional institutions.
In addition, some technology company employees do not even trust their own company with their financial information - least of all on Uber and Facebook. Of the 186 surveyed Facebook employees, only 21 percent said they trusted their data to the social media giants. (Uber scored even less - bleak 16 percent, though only 45 Uber employees took part in the survey.)
The results suggest that even Facebook employees would not trust Libra. Cuire Kim, Blind's brand marketing manager responsible for conducting the survey, made it clear that the survey did not specifically ask about Libra. However, given Facebook's collaboration with Libra, it is not a big leap, despite the company's efforts to separate itself and its reputation from the project.
Libra has experienced a very different response since its creation in June this year. While some saw Libra as a way to capitalize on the crypto-mainstream and legitimize the industry, others, especially the regulators, were reluctant to accept the project as the noble effort it claims to be.
Both Mark Zuckerberg, CEO of Facebook, and David Marcus, head of the company's blockchain division, have been briefed by members of the US Congress on Libra and its perceived potential to combat money laundering and other white-collar crime in recent months silent about the concerns raised by the project regarding data protection.
Given Facebook's many published data scandals, including Cambridge Analytica's fiasco last year, it's not surprising that even its own employees are not too keen to pass on sensitive financial data to the company. Brad Garlinghouse, CEO of Ripple, also says that Facebook has a fundamental trust problem and that trust is actually the foundation of all further steps and actions in a sensitive market such as the financial market. Garlinghouse believes Libra's vision is good, but the company would first have to convince politicians and businesses worldwide that Libra is 100% secure and does not collect data and share it with third parties.