Of policies that can identify all of the dimpt types of harms. Underbanked, whether or not you intend to have libra and your weve talked about a number digital wallet registered in today. Each of those countries so that terrorism, child exploitation, there would be regulatory oversight. Because we have found a lot of health missi individuals we have payday health misinformation. Lenders who say were interested in the underbanked we now have more than 35,000 people at the company wo work on o safety and security overall. Were interested in those that are not banked we spend billions of dollars a year on this our budget on safety and security is now greate the compy and those individuals who are supposed to pay more than when we went public in 2012 so a anybody else weve got institutions here, big effort i believe that it should not sit on any one companys shoulders to make so many important minority depository decisions about speech so one of the things that ive institutions and if you want to show that tried to focus on doing is youre doing the right thing, then with all of the money that you have, you can do it here in building an independent the United States and other Oversight Board that will consist oaf people with diverse places also. Backgrounds and views and is so that is an answer that you global, but will value freedom should know, and i would urge you to go back and find out. Of expression and this group will be able to make final and i would almost guess that binding decisions on what theres zero dollars there content stays up and comes down on facebook that even i or our team wont be able to overrule you should thereby then look at so it will create a check and your policy and change it, because action speaks much balance and oversight of our louder than words. Companys operations and you do have a trust factor extra kate yourself from that from the body that you would i mean i met with a lot of your investors who are pulling out of libra. Created . The way we are setting this lets just look at the news, up is that we will appoint the first set of cochairs for the body and we hope to do this in because whats most important to the next few months. Me is our democracy. And democracies around the wo d then they will nominate a set of other members and we will joint aly gree on them once the board is up and running, it will nominate and world. You tell me, when you look around the world, it seems to me refill itself so we will not be involved in the selection that facebook was a celebrant of process after that thank you the gentleman from k california, mr. Tip ton, is recognized for five minutes. Many of the destructive policies thank you, madame chair today. For example, 2016 russia mr. Zuckerberg, a number of my interferes with u. S. Elections colleagues, im over here to youve admitted you were caught your left. On your heels. There you are the question is what has been okay. And what will be done for 2020 but theyve expressed some brexit, another big issue around consideration that needs to be the world. Taken in in regards of the misinformation and divisions perspective payments industry within the Libra Association attempts at division and misinformation across north as youre well aware, a number america and Europe Facebook has been systemically of businesses are extensive experience in International Found at the scene of the crime. Payments, mastercard, visa, have do you think thats just a pulled out of that association would you view b facebook as an expert in the payments industry . Coincidence . Congressman, were not sir . Well, congressman, we operate traditionally primarily a payments company, but the person in almost every country in the world except for china and north whos running the kai libra subsidiary for us, was president korea, so i think we would be in almost every country where different activities are of paypal before, which is one happening. One thing that you mentioned of the great payments companies, before that i agree with is so we certainly have other there are a lot of predatory Financial Experts on the Management Team and board at the financial organizations. Company. We ban payday lenders and a lot of folks like that from using our platform for ads as well certainly were not interested in youve indicated that youll not only banning, you have the wherewithal, because if be looking for approval to make sure facebook for its part these mdis had the money, then within the association will they would be able to put the product, because these folks continue to r participate. If the association cant satisfy those regular laces with the need access to capital and Financial Institutions u. S. Regulations are in lace, im out of time. Will kai libra pull out of the association . Congressman, the short answer thank you the gentleman from florida, mr. Would be yes posey, is recognized for five minutes. Thank you, madam chair and if we. Ranking member mchenry for holding this very informative hearing. For many of us, facebook is a reality in our business and our personal lives i communicate with my so a posh of this you would constituents as well as my friends through the platform pull out daily. Many benefits accrue from the weve been watching Mark Zuckerberg testifying on capitol service, yet in the midst of these great benefits, great hill for the better part of a couple of hours now. Challenges have emerged. Weaver going to continue to monitor that let me welcome you to the halftime repo i want to welcome you to this halftime report. Im scott wapner hearing. Mr. Zuckerberg, i believe facebook is a Great Innovation front and center, more Major Companies reporting today that has much potential for several stocks are moving. Well discuss which you should good, that we welcomed an own and which you should avoid innovation together with the controversies that it spawned. Its 12 00 noon. This is the halftime report. Unfortunately, some in politics a big miss for boeing and t and the media see their role as cajoling facebook to censor its users speech. In april i wrote you i was cats earnings getting crushed but both Stocks Holding up what is signalling and the next move for your money . Disappointed facebook would Mark Zuckerber consider restricting free speech rights communicated with the risks associated with vaccinations i support vaccinations of children and adults but i also support open and frank communication of the risks of vaccination. Every person should make vaccination decisions with full information. In recognition of the uncertainties, the risk of vaccinations, the federal government has created a federal vaccination trust fund that has paid out over 4 billion to compensate those who have been injured by vaccinations. There is no more clear or persuasive statement that the risks associated with vaccinations than the existence and the payment record of that fund from time to time medical research has established case and context of specific risks associated with vaccinations i wrote you and another member of the house made claims that the risk of vaccinations should not exist and facebook should Police Communications related to the vaccination risks. Today you testified you believe in giving people a voice mr. Zuckerberg, is facebook able to assure us that it will support users fair and open discussions and Communications Related to the risks as well as the benefits of vaccinations congressman, thanks for the question we do care deeply about giving people a voice and freedom of expression those are some of the founding values of the company. At the same time, we also hear consistently from our community that people want us to stop the spread of misinformation so what we do is we try to focus on misinformation that has the potential to lead to physical harm or imminent harm. That can include especially Misleading Health advice there is a hoax that was going viral a number of months back saying lets stick to this subject because our time is very limited. Are you 100 confident that vaccines pose no injury to any person on this planet . Congressman, i dont think it would be possible for anyone to be 100 confident. But my understanding of the Scientific Consensus is that it is important that people get their vaccines but you said your platform, you want to you believe in giving people a voice. Doesnt somebody shouldnt somebody have the opportunity to express an opinion different from yours over 4 billion has been paid out by the fund. Over thousands of people dont think people should have information to make an informed choice congressman, i do thats why we dont stop people from posting on their page something thats wrong if someone wants to post vaccine antivaccination content or if they want to join a group where people are discussing that content, we dont prevent them from do that. What we do is we dont go out of our way to make sure our Group Recommendation systems try to show people or encourage people to join those groups we discourage that. Okay. How do you discourage it well, there are a number of different tactics. For example, if someone is typing in into the search box something that might lead to aengt antivax content, we dont recommend antivax content were not going to recommend or go out of our way to show people content that would encourage people to join those groups. But people can share that content if they want. Many people harmed by this policy are in fact parents with disabled children and i dont think we or you should be so quick to turn our backs on them. If you look at the statistics, i think youre making a bad mistake. My time has expired, i yield back thank you. Thank you very much the next gentleman from california is mr. Sherman. And today is his birthday. Happy birthday, mr. Sherman, you are recognized for five minutes. You dont get any more just because its your birthday donald trump said Crypto Assets can facilitate unlawful behavior, including the drug trade. I ask unanimous consent to put in a report by rand talking about crypto currencies use by terrorists hopefully without objection. Without objection, such is the order. Im not here to be antifacebook. I was anticryptocurrency back when you were anticryptocurrency. Cryptocurrency either doesnt work, in which case investors lose a lot of money, or it does achieve its objectives perhaps and displaces the u. S. Dollar as the or interferes with the u. S. Dollar being the sole reserve currency, virtually the sole reserve currency in the world. That role of the u. S. Dollar saves the average American Family 1,000 in interest costs because money pours into the United States baufecause of the role of the dollar we in Congress Spending because of the power of the u. S. Dollar. The u. S. Dollar is an excellent currency as a means of account it serves all the needs except its really bad for tax evaders, drug dealers, terrorists and that unmet need can be met by new currency. If we make drug dealers just 10 more effective, how Many American deaths is that over the next decade . Does it compare to the deaths we experience from terrorism . Well have to see. But those who are introducing cryptocurrency have got to pause and wonder what effect they will have on the power of the United States to impose sanctions right now turkey is stopping at 20 miles into syria, not because of u. S. Troops were out. But because of u. S. Sanctions, because of the role of the u. S. Dollar we stand to lose all that because cryptocurrency is the currency of the crypto patriot ms. Velasquez pointed out your lawyers are going to show theres a loophole in a 1940 Investment Company act that gets you where you want to go and the regulators cant stop you and youre going to call that Regulatory Approval as if the people in 1940 knew what you had in mind. What you made clear is that you will go forward unless Donald Trumpappointed regulators stop you. And you will go forward if you can just find loopholes in statutes, but youll deploy a horde of lobbyists to prevent us from writing a new statute ms. Maloney asked you a question that you forgot. You still forgot to answer it, but lets be clear youre going to be making powerful burglary tools and letting your Business Partners commit the burglary. You are going with all the power of facebook to try to create a new currency youre going to call it the libra, but youre the person behind it. Thats why i call it the zuck buck you are going to create it and then say, oh, its our Business Partners your white paper says your Business Partners are going to use your tool to have anonymous accounts then you have the gall to come here and say youre going to follow all the know your customer how do you know your customer with an anonymous account . Then mr. Meeks calls your bluff on this idea that you are creating a Payment System for the poor and unbanked. The poor and unbanked need pesos, they need dollars that they can buy something at a local store. Youve done no effort to help the unbanked anywhere else at any other time and you should you should create a Payment System with a close to zero fee. But the real money is in the tax evaders and to some extent the drug dealers youve got at least a hundred lawyers that will tell you that what youre doing is legal and that you will be safe. But given the harm that this can do, they could be very wrong and if this explodes the way it might, especially you will not be able to hide behind the idea that you didnt create the libra organization, that its just your Business Partners that have wallets designed for drug dealers and terrorists i have a few more things to say, but for the richest man in the world to come here and hide behind the poorest people in the world and say thats who youre really trying to help, youre trying to help those for whom the dollar is not a good currency, drug dealers, terrorists, tax evaders. Thank you the gentleman from missouri is recognized for five minutes. Thank you, madam chair and welcome mr. Zuckerberg i certainly admire you as an innovator and entrepreneur youve taken advantage of Economic Freedom of this country and i admire that. I think thats fantastic but you now are trying to get into a different world here with your libra experience here you know, in the past youve been dealing with Communication Systems where people have been able to Exchange Everything from retail information to personal information and it was kind of buyer beware in the retail world. But in the financial world, people transact business because they can trust that the transactions will be secure from the standpoint of the stability of the dollar and whatever theyre exchanging their money in the secrecy of the activity. Theres Consumer Protection as well as not being able to do things in an illegal fashion so thattakes a lot of regulation as youre finding out, regulation is an important part of the Financial Services world to be able to give people those kinds of protections and earn that trust so youve indicated already that you want to conform to the regulation to be able to do this and earn that trust. Can you continue to the first question is can you continue to innovate and be able to make the changes to this product as it needs to be to be able to conform to the regulation and still make this work do you believe that can happen congressman, i currently do i think well have to see how this process plays out but i do sitting here today. Are you willing to stop this project if you see that it cant go forward anymore congressman, i will certainly stop facebooks part of it the independent Libra Association is a separate thing that exists at this point. If i feel like facebook cant be a part of it in keeping with the principles that ive laid out, then facebook wont be a part of it i want to followup on mr. Shermans line of questioning with regard to the reserve currency what effect did you think that you get implemented libra implemented here that this would have on the reserve status of the u. S. Dollar . Congressman, because the reserve will be primarily u. S. Dollars, i actually think that a project like this could be important for extending americas Financial Leadership to the contrary of the risks that are being pointed out we have to be careful about all of the risks around Financial Stability and there are certain regulators who oversee that and were also mindful of that we want to do something that strengthens americas leadership but i just think that we cant sit here and assume that because today america is a leader that we get to be the leader if we dont innovate innovation means doing new things new things have risks and we need to address the risks and we need to be careful in doing that i personally worry that if we dont do things like this, whether its this project or others like it, eventually we lose our leadership. I appreciate the fact that youre pointing out that china is already doing this. That means if were going to allow them to play in this area, we need to be looking at it as well and i think right now 50 of the currencies that are in the basket here that they use to set the value of this is the dollar, is that correct . Congressman, i dont know if thats been fully finalized, but i think the principle will be that it will primarily be the u. S. Dollar. What happened whenever the board of calibra decides that the chinese yuan because of the economy looks to be a very Stable Currency and a growing curren