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Technology PayPal withdraws from association overseeing Facebook's Libra cryptocurrency

00:00  05 october  2019
00:00  05 october  2019 Source:   cnet.com

Facebook’s Libra Association is being investigated by EU antitrust regulators

Facebook’s Libra Association is being investigated by EU antitrust regulators Facebook's Libra cryptocurrency project is being probed again, this time by European Union antitrust regulators. The European Commission said it is "currently investigating potential anti-competitive behavior," related to the Libra Association, Bloomberg reports. In a questionnaire sent out this month, the EU authority expressed concerns that Libra would unfairly shut out rivals. The investigation, still in its early stages, is examining the governance structure and membership of the Libra Association. The purpose-built, independent nonprofit is meant to govern the digital currency.

PayPal is withdrawing from Facebook ' s Libra Association , the company announced Friday. Libra was greeted with widespread criticism after announcing libra cryptocurrency in June. Facebook ' s involvement caught the attention of senior congressional finance committee members, global

PayPal has decided to withdraw from the Libra Association , the 28-member nonprofit organization formed in June of this year to oversee the cryptocurrency ’s creation Yet Facebook ’ s blockchain chief David Marcus, who oversees Libra and Facebook ’ s companion digital wallet app Calibra, was

Payments company PayPal is withdrawing from an association made up of Facebook and other companies that are overseeing a new cryptocurrency called Libra scheduled to launch in 2020.

a close up of a bottle: Facebook and its partners plan to launch a new cryptocurrency called Libra in 2020. Thomas Trutschel via Getty Images© Provided by CBS Interactive Inc. Facebook and its partners plan to launch a new cryptocurrency called Libra in 2020. Thomas Trutschel via Getty Images

The move by PayPal underscores the challenges that Facebook and its partners that are part of the Libra Association face as the group tries to get the cryptocurrency off the ground.

"PayPal has made the decision to forgo further participation in the Libra Association at this time and to continue to focus on advancing our existing mission and business priorities as we strive to democratize access to financial services for underserved populations," said Amanda Christine Miller, a spokeswoman for PayPal.

Visa, Mastercard reconsider backing Facebook's Libra: WSJ

  Visa, Mastercard reconsider backing Facebook's Libra: WSJ Visa, Mastercard reconsider backing Facebook's Libra: WSJPolicy executives from Libra Association, the cryptocurrency's two dozen backers, have been summoned to a meeting in Washington, D.C., on Thursday, the WSJ reported.

PayPal is the first financial backer to withdraw from the association after Bloomberg reported earlier this month that it was undecided about formally signing on to the cryptocurrency . "We look forward to the first Libra Council meeting in 10 days and will be sharing updates following that, including details

Libra is a permissioned blockchain digital currency proposed by the American social media company Facebook . The project, currency and transactions are to be managed and cryptographically entrusted

She didn't say why the payments company is dropping out of the association, but said the company supports the Libra Association's goals and will continue to partner with Facebook in other ways.

Libra, which is scheduled to launch in 2020, has faced regulatory scrutiny from lawmakers around the globe concerned it could be abused for money laundering and other illegal activities. Facebook is also building a digital wallet, called Calibra, to store the currency.

Visa, Mastercard and other financial partners have been reconsidering their involvement in the effort after regulatory backlash, The Wall Street Journal reported this week.

Dante Disparte, head of Policy and Communications for the Libra Association, declined to say if other partners are also withdrawing. The group said it has "no other member news to share at this time."

PayPal withdraws support for Facebook’s Libra cryptocurrency

  PayPal withdraws support for Facebook’s Libra cryptocurrency The company is pulling out of the nonprofit Libra AssociationThe company doesn’t cite a specific reason, saying only in a statement given to CNBC that it decided “to forgo further participation in the Libra Association at this time and to continue to focus on advancing our existing mission and business priorities as we strive to democratize access to financial services for underserved populations.

Latest in Gear. Facebook ' s Libra cryptocurrency loses backing from PayPal . There's no word from other high-profile backers like Mastercard and Visa, while Facebook exec -- and former president of PayPal -- David Marcus previously tweeted that the "official 1st wave of Libra Association members

Today, Facebook finally announced its long-rumored cryptocurrency platform, Calibra. Some speculated that the company would rely on outside firms Libra won't be limited to Facebook , and when it' s up and running, the association hopes it will "empower billions" by giving people access to

"This journey to build a generational payment network like the Libra project is not an easy path," he said in a statement. "We recognize that change is hard, and that each organization that started this journey will have to make its own assessment of risks and rewards of being committed to seeing through the change that Libra promises."

a stack of flyers on a table: Facebook and its partners plan to launch a new cryptocurrency called Libra in 2020. © CNET

Facebook and its partners plan to launch a new cryptocurrency called Libra in 2020.

Facebook and partners move forward with Libra cryptocurrency after string of exits .
Twenty one remaining members officially join the Libra Association.But the social media giant and its partners signaled on Monday it's still planning to move forward with its plans to launch the new digital currency in 2020. Twenty-one organizations, including Facebook, formally joined the Libra Association, which is overseeing the cryptocurrency.

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