Three days before the first meeting of the project participants in Geneva.
Visa, MasterCard, eBay, Stripe and Mercado Pago left the Libra association, which runs the Facebook cryptocurrency project. Companies left the project a week after PayPal left. This was reported by the Financial Times and Bloomberg, the exit from the project was confirmed by The Verge.
According to Visa, the company “has so far decided not to join the project.” The payment system will make the final decision on the basis of several factors, “including the implementation of regulatory standards.”
EBay said it “respects Libra’s vision very much,” but the company decided not to become one of the co-founders. So far, the service is interested in developing a payment system for its users.
Stripe gave a similar explanation for leaving. The company noted that they would monitor the project and did not exclude the possibility of connecting “at a later stage”. Mastercard could not provide reporters with an operational comment.
As noted at The Verge, with the departure of companies from the project, Libra did not have a single partner in the field of payments from the United States. This means that cryptocurrencies may have problems accessing the home market.
Visa, Mastercard and other companies left Libra three days before the first meeting of participants in Geneva on October 14. Journalists expected from the meeting more specific conditions for each company to participate in the association.
Libra Foreign Policy Manager Dante Disparte told reporters that he was grateful to the companies for supporting the association’s mission. According to him, this will not affect the company’s plans to hold a meeting and announce the first participants.
Facebook introduced its cryptocurrency project on June 18. The company announced the creation of a consortium for cryptocurrency management. Among the participants were named Mastercard, Visa, Spotify, PayPal, eBay, Uber, operator Vodafone, venture companies Andreessen Horowitz and Thrive Capital and not only.
After the announcement of the cryptocurrencies Visa, MasterCard and Stripe were faced with pressure from the American authorities. On October 5, PayPal left the project, and on October 9, two senators from the US Democratic Party called on companies to reconsider their participation in the project, threatening consequences with regulators if they participate in Libra.