Facebook’s dream of creating its own global cryptocurrency is officially coming to an end
Libra was originally slated to launch in less than a year. Two and a half years later, the project – renamed Diem last year – officially collapsed after various setbacks and regulatory pressure made it impossible to start.
“While we gave positive feedback on the design of the network, it nevertheless became clear from our dialogue with federal regulators that the project could not go forward,” the CEO of the Diem Association said Monday. Stuart Levey, in a statement. He added that the band believes their work on Diem will inform future projects that could “deliver the benefits that have driven the Diem association from the start.”
Complicated from the start
“We need to get the message out loud and clear to [Facebook CEO and cofounder Mark] Zuckerberg that he’s not a country on his own and he can’t always do whatever he wants,” Rep. Sylvia Garcia, a Democrat from Texas, told reporters months after the launch of the Some of the Libra Association’s founding partners, including PayPal, Mastercard and Visa, pulled out of the project as regulatory scrutiny intensified.
Hearings, name changes and the departure of a key executive
In its Monday statement, Diem’s Levey said the project had “considerably evolved and improved” following feedback from regulators and governments around the world.
Marcus alluded to the role Facebook’s tainted reputation may have played in the project’s demise in a series of tweets on Monday.