eBay said it “respects” the Libra coin project, however, eBay has decided not to be a founding member.
Editor’s note: This article is from Tencent Technology, reviewing the commitment.
The Libra Currency Association said: “We thank them for their support of the goals and mission of the Libracoin project. Although the composition of the members of the association may grow and change over time, Libracoin’s governance and technical design principles and The openness of the project will ensure that the Libra currency payment network will remain resilient.”
Facebook had previously announced the issuance of digital currency, Libra, which was subsequently widely questioned and opposed by the international community. Some founding member companies also expressed doubts about the project. According to the latest news from foreign media, after the mobile payment company PayPal, on Friday, US e-commerce giant eBay, mobile payment company Stripe, and the world’s two major credit card companies Visa and MasterCard said that they will withdraw from the Libra. Foreign media pointed out that this is a major setback that has been encountered since the announcement of the Libra coin project.
According to foreign media reports, Visa said in a statement: “Visa decided not to join the Libra Coin Association at this time, we will continue to evaluate, our final decision will be determined by many factors, including the Libra Coin Association fully satisfied All the necessary regulatory requirements.”
The recent founding member departure problem is serious because it includes all of the major mobile payment companies that are founding members of the project. Previously, Facebook announced plans to launch this digital currency in June 2020 in partnership with other members of the Libra Coin Association.
In a statement released on Friday, eBay said it “respected” the Libra coin project. “However, eBay has decided not to be a founding member. Currently, we focus on launching eBay’s payment experience for our customers.”
A spokesman for Stripe, a US mobile payment service provider, said the company supports the goal of simplifying global payments. “Libra coins have this potential. We will pay close attention to its progress and continue to work with the Libra Coin Association at a later stage.”
Association Statement
For these member companies that have left, the Libracoin Association, which operates and manages the Libracoin, said: “We thank them for the Libracoin project.Support for goals and missions. Although the composition of the members of the association may grow and change over time, the governance of the Libra and the design principles of the technology and the openness of the project will ensure that the Librae payment network will remain resilient.
The association said: “We look forward to the first meeting of the Libra Association Council three days later and announce the first members of the Libra Coin Association.”
Last week, PayPal, one of the world’s largest third-party payment service providers, announced a news that surprised public opinion. The company said it would withdraw from the Libra currency program, but did not rule out the possibility of engaging in the project in the future.
In fact, foreign media have reported that the founding member companies including Visa, MasterCard and many other Libra coins are considering whether to withdraw from the plan. After Facebook announced the plan, regulators and central banks in many countries around the world expressed concern.
They believe that Libra coins rely on Facebook’s existing 2 billion users, which may impact the existing financial regulatory system. In addition, Libra coins may be used for terrorist organizations, criminal organizations, money laundering and other illegal activities, and Facebook and Whether the Libra Currency Association can guarantee the personal privacy of the holders has also raised doubts. It is well known that before Facebook, there have been countless scandals that infringe on personal privacy, and credibility has fallen.
According to foreign media reports, some founding member companies are worried that national regulators will conduct more investigations or inquiries into Librae, which may damage existing financial services and will not pay off.
Two payment supporters
After the mobile payment companies mentioned above have withdrawn from the Libra currency program, according to foreign media reports, there are still two mobile payment companies that continue to support Libra, which are Mercadopago and PayU, but the two payment companies are in the industry. Not well known.
In addition, Uber and Lyft, two well-known online car companies around the world, are also the first founding members of Libra. The two companies said that their support for the Libracoin program has not changed.
Facebook status
David Marcus is the head of Facebook’s Libracoin project and the former president of PayPal.
For some founding companies to leave, Marcus said that thanks to Visa and MasterCard to the end, the current pressure on the Libraco scheme is very high, and he respects the decisions made by these companies before the relevant regulations are clear. .
Marcus also said that you should not over-interpret the development fate of Libra according to the latest developments.
Marcus attended the Libras hearing in the US Congress in July, when representatives including Maxine Waters asked Marcus whether Facebook would postpone the Libra coin program until necessary. lawRegulations are introduced. According to Waters’ judgment, Marcus did not give a definite answer.
Portugal is worried
In addition, according to foreign media reports, the Portuguese Finance Minister expressed concern about Facebook’s digital currency, Libra, on Friday, saying that it should not be circulated in society until the risks it may bring to the financial system are resolved.
Ricardo Mourinho Felix said at a conference: “It is clear from the beginning that this is a high-risk phenomenon with a systemic impact. It is essential that all concerns are Do not start a stable currency project like Libra Coin until it is properly resolved.”
The EU said on Tuesday that it would propose a new law covering stable currency projects such as Libra, saying that these currency projects pose risks to the broader financial system.
Felix stressed that Portugal is as worried about Libra coins as other European countries.
Unlike the normal cryptocurrency, Facebook claims that Libra will be supported by a basket of financial assets, which in principle means it can avoid sudden fluctuations in the value of the currency – hence the name “stable currency”.
However, Felix pointed out that “liba coins may limit the scope of traditional monetary policy instruments” and “may have a major impact on today’s policies to promote stability in the financial system”.
Facebook CEO Mark Zuckerberg is expected to discuss the project on October 23 when he testified at the US House Financial Services Committee.
France and Germany last month promised to stop Libracoin from operating in Europe and support the development of a public cryptocurrency within the EU. Federal Reserve Chairman Jerome Powell has previously cited serious privacy, money laundering, consumer protection and financial stability issues that must be addressed before the project moves forward. (Tencent Technology Review / Cheng Hao)