eBay and Stripe announced that they were withdrawing their support for Facebook’s cryptocurrency project, Libra. eBay and Stripe were among the 28 companies that had originally signed on as members of the Libra Association, a Switzerland-based non-profit organization established to govern the development and launch of the Libra cryptocurrency.
However, following intense regulatory scrutiny and criticism from government officials and central banks, many of the original members of the Libra Association began to withdraw their support for the project. eBay and Stripe were among the first to do so, citing concerns about the regulatory and reputational risks associated with the project.
The withdrawals of eBay and Stripe were seen as a major blow to the credibility and viability of the Libra project and raised questions about the future of cryptocurrency. Despite these setbacks, the Libra Association has continued to forge ahead with its plans, with a number of high-profile companies and organizations remaining committed to the project.
The status of the Libra project remains uncertain, with ongoing regulatory and legal hurdles still to be overcome before it can be launched. Whether or not the project will ultimately succeed remains to be seen, but the withdrawals of eBay and Stripe underscore the challenges and risks associated with developing and launching a new cryptocurrency.
During the last week, PayPal has withdrawn its support for the Facebook cryptocurrency. And it was already foreseeable that it would not be the only one to leave the Libra.
We now know that eBay, Mastercard, Visa, and Stripe are also withdrawing their participation in the Libra Association. As with PayPal, these companies have made statements that leave open the possibility of possible future partnerships with Facebook, although they prefer to stay out of it for the time being.
For example, Reuters Echo Ebay’s statements in statement she mentions:
We respect the vision of the Libra Association very much, but eBay has decided not to go on as a founding member.
Stripe, for his part, has made statements to TC that say:
Stripe supports projects that aim to make online commerce more accessible to people around the world. . We will closely monitor your progress and remain open for future cooperation with the Waage Association.
As for visas, Steve mentioned that he has taken a step forward until Facebook’s cryptocurrency meets legal expectations, as mentioned in TNYT. And Mastercard intends to focus all its efforts on its own goals.
Facebook has not made any statements in this regard, but the withdrawal of its main partners cannot go unnoticed for the development of Libra.