During his recent interview with French newspaper Les Echos Apple CEO Tim Cook denied rumors of the technology giant venturing into the cryptocurrency arena.
Ever since Facebook stepped foot into the fascinating world of virtual assets with its close-to-heart project Libra, it seemed like every silicon valley giant wanted a piece of it. Until now. Apple boss Tim Cook has confirmed that he has no interest in launching its own currency whatsoever and that it is best left in the hands of a government.
As they say, all publicity is good publicity, and for Facebook, it has proved to be true to hype. Amid massive backlash, the social media giant is garnering adequate support for its ambitious plans. Moreover, it has tempted many industry giants to get the look and feel of the virtual asset world. Thus, not so long ago, a senior executive from Apple Pay expressed her desire to study cryptocurrency.
Private companies do not need to show power this way, Apple CEO
Following the surprising disclosure, cryptocurrency enthusiasts went around the bend with rumors flying around social media about Apple’s alleged interest in launching its own virtual currency. Unfortunately, the excitement was short-lived as Cook states he is not sure about the idea of private companies getting into designing a competing currency.
Moreover, he took a dig at Zuckerberg’s most prized possession by remarking that it is wrong for private companies to assert power in this way.
So far, Project Libra has received severe criticism over the lack of a compliant framework and security provisions from in and outside of the US. Cook echoed these sentiments by saying that currencies are like defense. It must, at all costs, be governed by the government, and it is for this reason that we go out and elect our leaders. Companies, on the other hand, are not chosen by people and hence do not have the authority over the monetary system, he contends.
And while many would agree with Cook’s line of defense, it is also equally valid that people are looking for robust alternatives for state-run money. With traditional banking system eating away a significant chunk of consumer money through hefty transaction fees and economies starting to tumble sending inflation rates soaring, fiat currencies may not have relevance in the long run. Is Facebook Libra the answer? Perhaps, no. But it is a step forward in the direction people want.