Visa, Mastercard, eBay, Stripe Follow PayPal in Quitting Facebook’s Libra Projec

[sirty143]

UPDATE (Oct. 11, 2019, 20:27 UTC): Mastercard and Visa have also confirmed they will not be joining the Libra Association.

UPDATE (Oct. 11, 2019, 22:57 UTC): Payments platform Mercado Pago confirmed to CoinDesk that it, too, would “suspend its participation” in the Libra Association.

Mastercard, Visa, digital auction company eBay, payments firm Stripe and Mercado Pago have all pulled out of the Facebook-led Libra Association.

The Financial Times reported Friday that eBay and Stripe dropped out of the Libra cryptocurrency project, citing political pressure, following PayPal, which pulled its own support of the project earlier this week. A Mastercard spokesperson confirmed to CoinDesk that the company will be withdrawing as well.

In a statement, the Mastercard spokesperson said:

“Mastercard has decided it will not become a member of the Libra Association at this time. We remain focused on our strategy and our own significant efforts to enable financial inclusion around the world. We believe there are potential benefits in such initiatives and will continue to monitor the Libra effort.”

Likewise, a Visa spokesperson told CoinDesk, “Visa has decided not to join the Libra Association at this time. We will continue to evaluate and our ultimate decision will be determined by a number of factors, including the Association’s ability to fully satisfy all requisite regulatory expectations. Visa’s continued interest in Libra stems from our belief that well-regulated blockchain-based networks could extend the value of secure digital payments to a greater number of people and places, particularly in emerging and developing markets.”

An eBay spokesperson told the FT that while the company respects the Libra Association’s vision, it was instead choosing to focus on releasing a “managed payments experience” for its customers.

A Stripe spokesperson confirmed their company’s withdrawal as well, saying “Stripe is supportive of projects that aim to make online commerce more accessible for people around the world. Libra has this potential. We will follow its progress closely and remain open to working with the Libra Association at a later stage.”

A spokesperson for Mercado Pago said the company will re-evaluate Libra after there is “greater clarity” around the project.

The Libra Association is scheduled to have its first official meeting next week, where the remaining 23 members – which include both Facebook and its subsidiary Calibra – are supposed to sign the group’s charter. A Facebook spokesperson confirmed Friday that the meeting is still taking place as planned.

While the original 28 members of the Libra Association were revealed with the cryptocurrency project’s initial announcement, the members only signed non-binding letters of intent.

Non-profits Kiva and Mercy Corps, venture firm Andreessen Horowitz (a16z), crypto custodian Anchorage and wallet provider Xapo all confirmed to CoinDesk Friday their intent to stay in the Libra Association.

Regulatory pushback

Facebook unveiled its vision for Libra in June 2019, announcing an ambitious project aimed at providing banking services to more than 1 billion individuals who currently lack access.

However, the project saw immediate pushback from lawmakers worldwide, with German and French officials vowing to block its launch and U.S. Representative Maxine Waters calling for a moratorium on development until the project’s regulatory hurdles are cleared.

Most recently, U.S. Senators Brian Schatz and Sherrod Brown wrote identical letters to Stripe, Visa and Mastercard, warning of the “chilling” effects Libra could have on the global financial system and hinting that participation in the project may result in increased regulatory scrutiny of their own businesses.

Facebook CEO Mark Zuckerberg is scheduled to testify before the House Financial Services Committee, which Rep. Waters chairs, later this month.

Source: COINDESK

[Bobcrypto]

I think the libra project, despite all these challenges facing it will be launched one day but may be prolonged. "Anything worth doing is worth doing well" the remaining members should be focus to achieve the their goals. Never give up!

[Fenix]

Facebook financial partners left the Libra project under the influence of a very negative assessment of such a project by the United States and European Union countries. In my opinion, the recent report of the G7 countries working group and the Bank for International Settlements, where the Libra project is regarded as a direct threat to global financial stability, will put an end to this project.

[Cutter Cute]

I think the partners of the Libra project are getting pressure from the traditional Bank so that makes them withdraw from the Libra project.
Hopefully, the project objectives can be achieved to make the global cryptocurrency as they wish.

[Peter90]

In my opinion, the recent report of the G7 countries working group and the Bank for International Settlements, where the Libra project is regarded as a direct threat to global financial stability, will put an end to this project.

I agree, "a direct threat to global financial stability", this is the main issue, not "regulations".

Libra would be able to move Billions worldwide. It would have the same weight and influence of one of the major Central Banks.
Being able to loosen or tighten the quantity or velocity of their currency, Calibra would influence the global monetary supply. Therefore you would have a major player in the global monetary arena, not being coordinated with the fiat money family: the Central Banks and the Megabanks.
That's not going to be allowed.

I must admit, I didn't forsee this development.
I thought Libra would be allowed, as Libra coins are backed by fiat and Government bonds, so that the Libra System would indirect support the Govs.


I didn't think that they would come after Zuckerberg and Libra in this way.
They are destroying it.
This is almost scary.

Facebook Tumbles After Antitrust Probe Expands To 47 States And Territories

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I believe that Libra will be allowed after all, but before that, the monetary authorities want to be sure that Calibra will play according to their rules.

[Alcor]

I think the partners of the Libra project are getting pressure from the traditional Bank so that makes them withdraw from the Libra project.
Hopefully, the project objectives can be achieved to make the global cryptocurrency as they wish.

Without the European market, Zuckerberg will not succeed, even if he solves all the problems with US regulators. European Union finance ministers clearly stated that they would boycott this coin and prevent its circulation on its territory. But that is not all. Now many states plan to issue their own national stable coin and they will be very serious competitors for Libra, even if it appears this year.

[endlasuresh]

As you see in the on post they may join again, but not left it completely. Facebook will continue in opening Libra and it will be done in this year according to the schedule.
More people have told in the past Bitcoin is a scam, ponzi, etc, but they finally invested in them and started using it. This will happen same thing to Libra and people will be using, most of charities will get easy money form people.

[damsix]

What is this storm again?
After Europe and the US strongly refused financially from LIBRA and now Ebay and Visa refused raw financially from LIBRA. LOL

Really want to laugh but this is bad news for the cryptocurrency room because it is very sad that many LIBRA projects are blocked in various countries.

[vaysar]

Now the Libra project has left the last major participant - Vodafone. This loss may postpone the launch of the project, but the Libra association has left quite a few other, not so large, but supporting the project companies. These problems will not stop Libra from moving to the market, the project has great community support.