Despite the exit of many, Libra is going to be a reality, says social media giant Facebook, that has decided to launch the cryptocurrency despite many hiccups.
Facebook and its partners plan to launch Libra in 2020. The Libra Association is now manned by 21 organizations including Facebook. Since the plans for the launch were announced in June this year, seven partners have already quit the alliance. This includes companies like PayPal, Visa, and Mastercard. These were some key partners whose exit has said to have reduced the traction of the upcoming digital currency.
But most have had their reservations over security and accountability of the product. There have been concerns over how cryptocurrency has been considered an unsafe mode of financial dealing. Lawmakers have said to have raised concerns that Libra could be abused for money laundering and other crimes.
Facebook has already been under scrutiny for negligence and misuse of user data, more so at the time of US elections and CEO Mark Zuckerberg has been pulled to courts for the same.
Zuckerberg is again scheduled to testify before the US House Committee on Financial Services on Oct. 23 about Libra and other topics.
Meanwhile, Facebook is also building a digital wallet called Calibra to store Libra. At the moment, Spotify, Uber and venture capital firm Andreessen Horowitz are putting in their trust in this new product and have stuck with the project. They have known to have officially joined the association during a meeting in Geneva, Switzerland.
The organizations signed the charter for the Libra Association, which also formed a council tasked with governance of the group. The council appointed a board of directors that includes Calibra co-founder David Marcus, Andreessen Horowitz general partner Katie Haun, PayU general counsel Patrick Ellis, Kiva chief strategy officer Matthew Davie and Xapo CEO Wences Cesares.
The Libra Association said that more than 1,500 entities have expressed interest in joining the Libra project.
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