The Libra Association may have renamed its product as Diem but that has little to no significance to German Finance Minister Olaf Scholz.
As reported by Reuters, Scholz noted in a statement that Libra’s rebranding as Diem was only a superficial cosmetic change.
“A wolf rebranded in sheep’s clothes is still a wolf,” he stated following a video conference of G7 finance ministers this Monday. “It is now clear to me that Germany and the whole of Europe cannot and will not allow its entry into the financial market while the impending regulatory risks are not comprehensively addressed,” he added.
In his sharp statement, Scholz also stressed the importance of ensuring currency monopoly remains under the control of sovereign nations.
According to information that surfaced in November, Scholz has previously expressed his disdain for privately-owned cryptocurrencies but does support crypto initiatives such as digitizing the common European currency.
Composed of 27 member companies, the Diem group is also reportedly planning to launch its “Diem dollar” stablecoin, which is pegged to the US dollar, in January 2021.
