Facebook's Libra cryptocurrency loses eBay support
Facebook's Libra cryptocurrency loses eBay support
Breaking: Visa, Mastercard, eBay, Stripe All Leave Libra
12 October, 2019, 14:43
The meeting is slated to take place on Monday in Geneva.
Brown said in a statement after the announcements on Friday that the companies had been "wise to avoid legitimizing Facebook's private, global currency".
All five departures come less than a week before the Libra Association's official signing ceremony, which is to be held in Switzerland. But now that that alliance appears to be eroding, the project's future is uncertain. He added: "I would caution against reading the fate of Libra into this update". Change of this magnitude is hard.
What do you think about another set of companies leaving Libra? The ongoing scrutiny of Libra makes Facebook's partners all the more vital to actually launching Libra. Some people inside the company think the defections are partly driven by established payments providers worrying about a new entrant encroaching on their turf, the person said. Marcus went to Washington in July to testify before Congress about Facebook's plans.
In message on Twitter posted Friday evening, Marcus said "the pressure has been intense", and that he respects Visa and Mastercard's decision to "wait until there's regulatory clarity for Libra to proceed". "Senators Sherrod Brown of OH and Brian Schatz of Hawaii said that Libra poses a risk to not only the financial system, but the payments companies" broader business. The letters suggested that the companies may not have been fully aware of the regulatory risks inherent in the project.
"Mastercard has decided it will not become a member of the Libra Association at this time", the company said in an emailed statement. Another eBay spokesperson noted that the firm would rather focus on its own payments experience for now. Stripe says it'll be open to joining Libra when it's progressed to a later stage.
"Stripe is supportive of projects that aim to make online commerce more accessible for people around the world", a spokesperson told Business Insider.
In a blow last week, PayPal announced to withdraw from the Libra Association - the 28-member non-profit organisation formed by the social networking giant for the global roll out of its digital cyrptocurrency next year. Their initial agreement to join the Libra Association instantly gave Facebook's project legitimacy.
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