Facebook Libra’s News Today – October 5th, 2019

  • PayPal Moves on from Facebook’s Libra Crypto group
  • Apple Chief Isn’t a Fan of Facebook’s Libra

Leading digital payments platform, PayPal has reportedly ended its collaboration with Libra crypto group. The company announced on Friday that it is abandoning its alliance with the Facebook-backed Libra. The agreement between the two entities would have seen PayPal oversee the Libra project. This move by PayPal comes after Facebook’s cryptographic initiative faced a wave of scrutiny from lawmakers and regulators.

PayPal is Still in Support of Libra Despite Cutting Ties with the Project

PayPal revealed that it is still supportive of Libra’s aspirations. It also said it will continue to dialogue on different ways that the two entities can work together once more in the future.”

The international outcry is growing over Libra. Central banks and governments have begun to rally against Facebook’s cryptocurrency due to concerns over how the token would be regulated.

There are Rumors That Mastercard and Libra’s Other Partners are Having a Rethink of Their Position

Mastercard, Visa and a host of other partners enlisted to oversee the Libra project are reportedly having doubts over the initiative. This is due to how regulators have scrutinized the project and even going as far as digging for information from the members of the association. Apart from Visa and Mastercard, other Libra backers include Lyft and Uber. The head of Libra said last week that they aim to “reassure” regulators who are worried about the project.

Bitcoin (BTC) Price Today – BTC / USD

NamePrice24H %
bitcoin
Bitcoin(BTC)
$58,725.00-6.94%

Leaked comments from a meeting of Facebook’s employees in July, showed that the top officials at the social media giant remain positive despite the negative remarks. Chief executive Mark Zuckerberg is optimistic about Libra’s prospects.

Apple Chief Isn’t a Fan of Facebook’s Libra

Tim Cook, the chief executive officer of Apple said he isn’t comfortable with Libra. Cook remarked in an interview published in a French newspaper, Les Echos. He said he dislikes the idea of a corporation taking over the roles reserved for governments. Without mentioning Facebook, Cook revealed that the art of issuing currency, like national defense, should be left to states.

Recently, Facebook and its partners released a Libra prototype to serve as an open-source code. It was given access to developers who are interested in turning it into apps, or services. Researcher, Martin Chorzempa, of the Peterson Institute for International Economics, has questioned Libra’s ability to fulfill its vision. Libra will need to fully comply with regulations like KYC. This involves collecting user personal information to expose crimes like fraud or money laundering.

Max writes about blockchain projects and regulation with a special focus on United States and China. He joined Smarterum after years of writing for various media outlets.

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