Crypto News

Another Big Name Pulls Out of Libra, Will Facebook’s “Crypto” Even Launch?

Following the news that PayPal, MasterCard, Visa, eBay, and Stripe pulled out of Facebook’s foray into the crypto asset space, Booking Holdings Inc. has also withdrawn from the Libra project. The company operates both the and travel websites.

Libra has faced intense regulatory scrutiny since it was first detailed this summer. Such pressures and now big name withdrawals have cast the project’s eventual launch into doubt.

Yet More Difficulties for Facebook’s “Crypto”

According to a report in Bloomberg, Booking Holdings Inc. is the latest in a growing list of big names withdrawing from the Libra project. The Connecticut-based travel company has pulled out of the so-called crypto asset’s development on the day the Libra Association met in Geneva to begin fleshing out the structure of the organisation.

Earlier this month, PayPal became the first of the household names to withdraw their support from the “crypto” project. Following the payments giant last week were eBay, Stripe, MasterCard, and Visa.

The consortium of companies has thinned substantially since the 28 names were initially announced. This even prompted the newly-launched crypto asset futures exchange CoinFLEX to offer trading on whether or not the project would launch on time.

However, the withdrawals of big name supporters from the Libra Association are far from the project’s only concerns. Regulatory pressures from around the globe have been mounting since the very day that Facebook detailed the “crypto” in June. It even struck a nerve with Donald Trump and the US Treasury Secretary Steven Mnuchin. The former stated on Twitter that Facebook would need to apply for a full banking licence to make good on its financial ambitions. Meanwhile, the latter called it a potential national security issue.

More recently, the G7 task force, set up to debate the potential implications of the digital currency, has issued a report that states that the project will not be allowed to launch until it is proven safe and secure. Even then, the document says that its launch is not a given. The task force includes high profile central bankers, representatives from the IMF, and members of the Financial Stability Board. The group is concerned that Libra will be used for nefarious purposes, including terrorist financing and money laundering.

Opinions on Libra from the crypto community has been generally optimistic since its launch. Many have argued that it will likely serve as a convenient on ramp for new users to get exposure to the likes of Bitcoin and other decentralised crypto assets. However, with the above issues plaguing the project right from the get go, whether such theories will ever be tested remains in doubt.


Related Reading: XRP Surges as Crypto Markets Express Bearish Volatility

Featured Image from Shutterstock.

The post Another Big Name Pulls Out of Libra, Will Facebook’s “Crypto” Even Launch? appeared first on NewsBTC.

Related Crypto News

Analysts are Cautious of the Crypto Market’s Latest Push Higher; Factors to Consider
The aggregated crypto market saw a sharp rise today fueled by widespread liquidations of short positions This movement came...
Analyst Who Called Bitcoin Drop to $3,000s Expects Another Brutal Bear Market
Bitcoin has rallied strongly since the $3,700 lows established in March. From the bottom of the crash, the cryptocurrency...
LG Shows Interest in Distributed Ledger Technology, Joins Hedera Hashgraph Governing Council
South Korea’s electronic giant exhibits interest in distributed ledger technology. LG Electronics has joined the governing council of Hedera...
Lithuania’s Central Bank Completes Blockchain Regulatory Research
The Bank of Lithuania finished its research phase on the LBChain’s blockchain project that aims to provide a regulatory...
Ethereum Network Use Hits a New All-Time High — Will ETH Price Follow?
Interaction with the Ethereum network recently hit an all-time high but the increase in gas usage may pose problems...
GRX Group’s GRID Platform Hosts its First Tokenized Security
Digital advertising platform tribeOS launched its shares as tokenized securities on GSX Group’s GRID platform. Adtech firm tribeOS launched...

Featured Crypto News

Digital Currencies Could Threaten US Geopolitical Power, Warns JPMorgan
“There is no country with more to lose from the disruptive potential of digital currency than the United States,”...
Ethereum Could Stage Strong Rally As Double Bottom Pattern Emerges
Ethereum nosedived below the $202 support zone against the US Dollar. ETH price revisited the $192 support and it...
Bitcoin Traders Now Eye $6-7Ks After 4 Failed Attempts to Break $10K
The price of Bitcoin is set to test lower levels as support after numerous attempts to break $10,000 have...
Huobi, OKEx and Upbit Join Top 10 in Messari’s ‘Real Volume’ Revamp
Messari adds 10 new exchanges to its ‘real volume’ metric and overhauls methodology. Crypto data and research platform Messari...
Bitcoin Bulls Defend Against a Drop Below 200-Day EMA; What Comes Next?
It has been a rough day for the benchmark cryptocurrency. After flashing some signs of weakness, Bitcoin briefly dipped...
3 Signs Show Bitcoin on Verge of Macro Upsurge, Making $20k Imminent
After attempting to break decisively past $10,000 for the second time in a week, Bitcoin was rejected, plunging as...