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New Crypto Study Spells Trouble for Facebook’s Libra, Cowen Says

Nov. 4, 2019, 6:57 PM

A new study portends more political trouble for Facebook Inc.’s Libra, Cowen said. The study claims that a single manipulator used Tether, a stable coin, to boost demand for Bitcoin during a time when the leading cryptocurrency’s price surged to nearly $20,000 in 2017.

If Tether was part of a Bitcoin manipulation scheme, Facebook’s Libra, also a proposed stable coin, might find it even more difficult to win approval, according to Cowen analyst Jaret Seiberg.

The news comes as the U.S. Securities and Exchange Commission has highlighted cryptocurrency manipulation as one of its top concerns. “News flow like this ...