It is also a controversial cryptocurrency project. Facebook’s Libra can be said to be born with a golden spoon. When it was officially released on June 18, it has received industry giants such as Visa, MasterCard, Paypal, Uber, and Spotify. Support, however, since October, allies have “retired”, and this once ambitious plan to challenge the international monetary system seems to be falling apart.
The earliest retreat was PayPal. On October 4th, the company said it had withdrawn from the Libra Association. One week later, on October 11, Stripe, Visa, eBay, MasterCard, and Mercado Pago also emphasized the idea of still supporting Libra. But the body has been honestly withdrawing from the Libra Association.
Ebay and MasterCard both say that everyone is beautiful, Ebay says that he is now “focusing on launching Ebay’s hosted payment experience for customers.” MasterCard also said it wants to focus on its strategy and “we are committed to global financial inclusion.” Make a major effort.”
Stripe and Visa didn’t say anything to death. “We will pay close attention to Libra’s progress and not rule out the possibility of continuing to work with the Libra Association,” said a spokesperson for Stripe. Visa comparisonIn fact, the future participation will depend in part on whether Libra has the ability to “fully meet all necessary regulatory expectations”, which also points to Libra’s current dilemma.
In fact, due to the combination of Libra and a basket of currencies and the nature of global circulation, the emergence of the central bank has caused the central bank to be vigilant. Europe has the strongest reaction. France and Germany even issued a statement explicitly opposing Libra’s implementation in Europe. Even Switzerland, where Libra is registered, has announced that it must accept money laundering reviews. In September this year, representatives of Libra accepted questions from 26 central banks, including the Federal Reserve, in Basel, Switzerland, and regulatory pressures are increasing.
After PayPal announced its withdrawal from Libra, the European Union put the regulation of digital currency on the agenda. Valdis Dombrovskis, vice president of financial supervision, said that he would propose new regulations for digital currencies such as Libra, and be wary of digital currency being used as a money laundering tool. And the impact on financial stability.
The timing of these companies’ exits is also intriguing. Libra was scheduled to hold its first board meeting in Geneva, Switzerland on Monday (October 14th). Can the meeting be held as scheduled? Will Uber, Lyft, and Spotify, which remain in the association, follow the example of PayPal and so on? These are all unknowns. But before the project landed, the partners were reluctant to retreat, which is obviously not a good thing for Libra.
On the same day that five companies, such as Visa, withdrew from Libra, the US Securities and Exchange Commission (SEC) obtained a restriction on the encrypted communications company Telegram, temporarily suspending the distribution plan of its token Gram.
The title map is from: Astrology Zone