# Facebook’s libra cryptocurrency coalition is falling apart as eBay, Visa, Mastercard and Stripe jump ship



## BarberFerdinand (Oct 12, 2019)

Facebook's libra cryptocurrency coalition is falling apart as eBay, Visa, Mastercard and Stripe jump ship
					

The news comes one week after PayPal announced its withdrawal as government regulators continue to scrutinize the plans.




					www.cnbc.com
				











						EBay, Visa, Mastercard, Stripe abandon Facebook's libra cryptocurrency
					

archived 12 Oct 2019 04:15:42 UTC




					archive.fo
				




KEY POINTS

EBay, Visa, Mastercard and Stripe announced Friday they will no longer be part of Facebook’s libra cryptocurrency project.
The news comes one week after PayPal announced its withdrawal as government regulators continue to scrutinize the plans.
Facebook CEO Mark Zuckerberg is set to testify on the currency at an Oct. 23 hearing before the House Financial Services Committee.

EBay, Stripe, Mastercard and Visa are all dropping out of Facebook’s libra cryptocurrency project, the companies announced Friday. The news comes one week after PayPal announced its withdrawal as government regulators continue to scrutinize the plans.
In statements following the news, the companies said they respect and see potential in the project, but have chosen to focus on other efforts. A Stripe spokesperson said in a statement that the company “is supportive of projects that aim to make online commerce more accessible for people around the world.” Stripe will “remain open to working with the Libra Association at a later stage,” the spokesperson said.

A Visa spokesperson said the company “will continue to evaluate and our ultimate decision will be determined by a number of factors, including the Association’s ability to fully satisfy all requisite regulatory expectations. Visa’s continued interest in Libra stems from our belief that well-regulated blockchain-based networks could extend the value of secure digital payments to a greater number of people and places, particularly in emerging and developing markets.”
The original coalition of 28 corporate backers of the libra cryptocurrency seems to be dwindling as lawmakers continue to question how it will impact sovereign currencies and how the project’s leaders can ensure consumers’ protection. Mercadopago and PayU are now the only two payments companies continuing to back the cryptocurrency as of Friday afternoon. Original backers Uber and Lyft told CNBC there has been no change to their involvement in the project.
The backers abandoning the project may have found safety in numbers after PayPal announced its exit last week. News that eBay, Stripe and Mastercard were each dropping out quickly followed one another Friday afternoon, indicating all three had likely been thinking about leaving during the same period. The decisions come ahead of a planned Libra Association Council meeting on Oct. 14. A week later, libra’s cryptocurrency project will take center stage in front of U.S. lawmakers once again when Facebook CEO Mark Zuckerberg testifies in front of the House Financial Services Committee later this month.
David Marcus, who leads the libra project and was previously the president of PayPal, weighed in on Twitter hours after the announcements. He cautioned “against reading the fate of Libra into this update.”



> David Marcus
> 
> *✔*@davidmarcus
> · 6h
> ...





> David Marcus
> 
> *✔*@davidmarcus
> 
> ...



97 people are talking about this






Marcus testified before the committee in July. At the time, representatives including Chairwoman Maxine Waters, D-Calif., had asked Marcus whether Facebook would postpone its plans until the necessary regulations were in place. Marcus did not give an affirmative answer, according to Waters’ judgement. She said his answer “was not a commitment.”
The Libra Association, the nonprofit in charge of managing the cryptocurrency, said Friday afternoon it is still looking to move forward.
In a statement, policy and communication head Dante Disparte said, “We are focused on moving forward and continuing to build a strong association of some of the world’s leading enterprises, social impact organizations and other stakeholders to achieve a safe, transparent, and consumer-friendly implementation of a global payment system that breaks down financial barriers for billions of people. We look forward to the inaugural Libra Association Council meeting in just 3 days and announcing the initial members of the Libra Association.”
Facebook declined to comment.


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## NOT Sword Fighter Super (Oct 12, 2019)

It's Beenz all over again.


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## Niggernerd (Oct 12, 2019)

Mark should of just called it zucc buccs


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## Coke Pope (Oct 12, 2019)

This is good for libra.
Just buy the dip bro.


Niggernerd said:


> Mark should of just called it zucc buccs


This but unironically.
Do it Zuckerberg, do it for the lols.


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## Ahriman (Oct 12, 2019)

Source/s:









						EBay, Stripe and Mastercard drop out of Facebook’s Libra Association – TechCrunch
					

Oof — a week after PayPal announced plans to part ways with Facebook’s Libra cryptocurrency project and the related association of the same name, three more names are reportedly breaking away: eBay, Stripe and Mastercard. (Update: and now Visa!) In a comment to TechCrunch, a Stripe spokespers…




					techcrunch.com
				












						Facebook’s Libra Association crumbling as Visa, Mastercard, Stripe, and others exit
					

One week after PayPal left the project




					www.theverge.com
				








Visa, Mastercard, eBay, Stripe, and Mercado Pago have all withdrawn from the Libra Association, dealing a major blow to Facebook’s plans for a distributed, global cryptocurrency. The withdrawals were first reported by the Financial Times and Bloomberg.

A Visa spokesperson told The Verge. “Visa has decided not to join the Libra Association at this time,” the spokesperson said. “We will continue to evaluate and our ultimate decision will be determined by a number of factors, including the Association’s ability to fully satisfy all requisite regulatory expectations.”

The withdrawals leave Libra with no major US payment processor, a serious issue for the fledgling project. They also come just one week after PayPal (eBay’s former subsidiary) withdrew from the association.

The first official meeting of the Libra Council is in just three days, scheduled for October 14th in Geneva. That meeting will likely result in more specific commitments from all the members involved, which may have inspired some of the recent defections. Still, the departures leave the project in a precarious place as Libra hopes to move beyond initial criticisms of the project.

“We highly respect the vision of the Libra Association,” eBay said in a statement. “However, eBay has made the decision to not move forward as a founding member. At this time, we are focused on rolling out eBay’s managed payments experience for our customers.”

Stripe gave a similar explanation for its withdrawal. “Stripe is supportive of projects that aim to make online commerce more accessible for people around the world,” the company said. “Libra has this potential. We will follow its progress closely and remain open to working with the Libra Association at a later stage.” Mastercard did not immediately respond to a request for comment.

In response, Libra Association policy chief Dante Disparte thanked the companies for their ongoing support of the organization’s mission.

“We are focused on moving forward and continuing to build a strong association of some of the world’s leading enterprises, social impact organizations and other stakeholders,” Disparte said. “We look forward to the inaugural Libra Association Council meeting in just 3 days and announcing the initial members of the Libra Association.”

The remaining Libra members are facing growing pressure from governments and regulators, many of whom see the project as a threat to the existing financial system. On Wednesday, two Democratic senators urged Visa, Mastercard, and Stripe to reconsider their involvement with Libra, saying it could have significant regulatory consequences for any payment processor involved.

“If you take this on,” the letters read, “you can expect a high level of scrutiny from regulators not only on Libra-related activities, but on all payment activities.”

In response to the news, Libra chief David Marcus, a former president of former Libra Association, PayPal, conceded the news was not “great in the short term,” but “liberating” to “know that you’re on to something when so much pressure builds up.” Marcus also casts the news of Mastercard and Visa’s withdrawal from the project as the two payment giants simply waiting until there’s proper “regulatory clarity” on Libra.













						David Marcus on Twitter
					

“I would caution against reading the fate of Libra into this update. Of course, it’s not great news in the short term, but in a way it’s liberating. Stay tuned for more very soon. Change of this magnitude is hard. You know you’re on to something when so much pressure builds up.”




					twitter.com
				




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Definitely good news.


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## Buttigieg2020 (Oct 12, 2019)

So all it took was some threats from Elizabeth Warren to destroy Zuckerborg’s plans for global domination? That’s something...
Or maybe Trumps DOJ is about to rape big tech?


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## Belligerent Monk (Oct 12, 2019)

I assumed there was something going on in the background when Sony pulled facebook integration from the PS4 this week. It seems like such a harmless, mundane, feature.

Maybe Sony knows something we don't. Is facebook getting myspace'd by another upcoming platform? Perhaps massive legal trouble down the pipeline?


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## Basil II (Oct 12, 2019)

lmao that cope


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## NeoGAF Lurker (Oct 12, 2019)

Facebook is smoke and mirrors and these financial organizations don’t want to hold the bag  and damage to their reputation for Zucc’s mistakes.


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## Revo (Oct 12, 2019)

I am glad that did happen, because zucc is a weird human being and I don't want weirdos to look at my money.


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## CrunkLord420 (Oct 12, 2019)

Libra is either going to turn out as a PayPal clone with all the usual KYC, or they'll be stopped by regulators before being allowed to shill a crypto-token to the plebs.


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## Maggots on a Train v2 (Oct 12, 2019)

The real money transfer companies know that Facebook is one big attack surface.  And if Facebook doesn't follow any existing regulations, which they seem to be planning with their monopoly money system, every boomer who falls for a scam is going to expect 100% of their money back from Visa or PayPal.


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## Inquisitor_BadAss (Oct 12, 2019)

Nice to see some common sense for once.


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## Marco Fucko (Oct 12, 2019)

Posting in this thread because it was first. I hope Zucc's 5/10 Asian wife cucks him with NBA players.


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## Immortal Technique (Oct 12, 2019)

Belligerent Monk said:


> I assumed there was something going on in the background when Sony pulled facebook integration from the PS4 this week. It seems like such a harmless, mundane, feature.
> 
> Maybe Sony knows something we don't. Is facebook getting myspace'd by another upcoming platform? Perhaps massive legal trouble down the pipeline?


I think Facebook is already myspace'd. It's still make money off all the data it's collected, but it's already faded with the younger generations in the US.


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## ⠠⠠⠅⠑⠋⠋⠁⠇⠎ ⠠⠠⠊⠎ ⠠⠠⠁ ⠠⠠⠋⠁⠛ (Oct 12, 2019)

Excellent. Some crypto advocates were cautiously optimistic about Libra providing a pathway to crypto adoption by the masses, but A) they were probably delusional B) it isn't any good for what crypto's actually good for, which is buying weapons anonymously and supporting political and military groups which Occupational Governments try to sanction.

People are already careless enough about using unsafe cryptocurrencies (everything but Monero) which they buy from exchanges and don't tumble or otherwise mix. The last thing the crypto community needs is explictly unsafe shit like Libra in the mix as well.


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## Kaiser Wilhelm's Ghost (Oct 12, 2019)

Immortal Technique said:


> I think Facebook is already myspace'd. It's still make money off all the data it's collected, but it's already faded with the younger generations in the US.



It's been pretty obvious from the start what the game plan was with Libra. 


Create a form of e-currency exchange that can be pushed through because of lobbying power and donations to key figures in government, in order to create a form of exchange that will crush any potential crypto market from ever becoming mainstream.
Create market accessibility by having strong partnerships in the financial world with all of the major big players in terms of payment processing, something crypto has never been successful at doing, and thereby opening up a global market with their finger on the button of the exchange, instead of the bank. (China and Chinese exchange market, plain and simple.)  
Create it so that it is useable with all major platforms, including Facebook in an attempt to create global growth for Facebook, since it's reached saturation and decline point in most western countries and the US. 
Track the financial spending of Libra holders at points of sale, and then offer that up with other additional bits of information to firms interested in the spending habits of the said user. IE targeted advertising. 
TLDR; Don't buy into it, it's a way for Zucc to allow dirty Chinese money to be laundered out and get paid for the privilege. All the while tracking you, your spending habits, and selling that info to the highest bidders.


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## Jack O'Neill (Oct 12, 2019)

Good. Facebook needs to die.


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## MadPanda (Oct 12, 2019)

Good. I always felt cryptocurrencies should stay decentralized and this was a method of getting it started to be more centralized.


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## Suburban Bastard (Oct 12, 2019)

A bad day for the_zuck is a good day for the world.


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## DumbDude42 (Oct 12, 2019)

Immortal Technique said:


> I think Facebook is already myspace'd. It's still make money off all the data it's collected, but it's already faded with the younger generations in the US.


they dont care lol
facebook is gigantic in asia, the vast majority of their users are third worlders. they could drop the NA market entirely and still make crazy cash due to their near monopoly status in overseas markets


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## Splendid (Oct 12, 2019)

Glad to see Zucc finally get fucced.


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## Lards and Lasses (Oct 12, 2019)

Zucc's crypto-flop is going to outdo this guy's




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## Ahriman (Oct 12, 2019)

NOT Sword Fighter Super said:


> It's Beenz all over again.


I've watched Nostalgia Nerd's video about it, I honestly don't remember anything about Beenz back in the day.


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## AnOminous (Oct 12, 2019)

When you nutted but he still zuccin.


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## Pissmaster (Oct 12, 2019)

Immortal Technique said:


> I think Facebook is already myspace'd. It's still make money off all the data it's collected, but it's already faded with the younger generations in the US.


It's even become fairly trendy to not be on Facebook anymore. It's now more or less a platform for aging millennials to post pictures of their children. 

Too bad they own Instagram too, that's gotten a hell of a lot bigger


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## Splendid (Oct 12, 2019)

Pissmaster General said:


> It's even become fairly trendy to not be on Facebook anymore. It's now more or less a platform for aging millennials to post pictures of their children.


Fuuuck, fucking hipsters copying me.


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## Gym Leader Elesa (Oct 12, 2019)

I haven't had any form of social media in 10 years so suck it Facebook quitting hipsters.


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## Kaiser Wilhelm's Ghost (Oct 13, 2019)

DumbDude42 said:


> they dont care lol
> facebook is gigantic in asia, the vast majority of their users are third worlders. they could drop the NA market entirely and still make crazy cash due to their near monopoly status in overseas markets



Zuckerberg is trying to crash into these markets, because he's peaked in NA and Europe was always a slower in its adoption rate, so now the developing world is really going to be his only market for growth in user. That was partly why Facebook started offering Free Basics. 

It was an internet service provider that they controlled without any adherence to net neutrality laws, so not only did they control the internet and thus anything access through that internet, but also could monetize all of that sweet information. 

This was why the Indian government banned it, though a little influence from local ISP with kickbacks also probably ultimately helped that decision.

I also think it's part of the reason for the push for Libra. Realistically when you think about it, it makes the whole process of remittance payments abroad a lot easier, and the largest markets for remittance payments from economic migrants is back to their home countries. With an international form of electronic currency backed by the almighty dollar and Zucc, with the right minimal fees applied it would become the favored form of currency exchange, and further entrench the usefulness of facebook in those developing markets where they control internet access, money access, and social access. 

In regards to China I'd say it's a bit different, in the fact that it would most likely be used as a money launderer for the Chinese to move currency outside of China without the grabbing hand of the CCP taking its share. 

It's very easy in China to make a massive fortune with the right connections, but maintaining it without landing yourself in a labor camp if you piss of the party elites is exceptionally difficult. The Chinese are already very expert at land banking, and Canada is the main country of choice for this, but land banking can only go so far, and it's costly to move money out of the Chinese economy.

Also the beauty of Libra is, is that it being a US brand it's not going to draw the attention of US firms and businesses in much the same way Chinese money does. Chinese wealth comes at a price, human rights violations, wage slave labor, environmental damage, etc. It's much easier for that money to have a mask to hide behind that will obfuscate where it comes from. 



Pissmaster General said:


> It's even become fairly trendy to not be on Facebook anymore. It's now more or less a platform for aging millennials to post pictures of their children.
> 
> Too bad they own Instagram too, that's gotten a hell of a lot bigger



Instagram was a smart purchase from Facebook's perspective. It essentially had something that Facebook has lost over a period of time and that was user interaction. A lot of people post stuff to instagram, but aren't bothered to put it up on facebook, which itself became inundated with the "share" posts that spread like cancer. 
That doesn't help Zucci boy because he wants peoples personal information to sell, and he only gets that if people actually post pictures and videos. 



Gym Leader Elesa said:


> I haven't had any form of social media in 10 years so suck it Facebook quitting hipsters.



I've kept mine because my parents use it as there main form of communication when I can't see them. 
And to keep up professional appearances, but I honestly only use it as a glorified place holder and address book at this point, excised of all relevant information.


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## Manwithn0n0men (Oct 14, 2019)

Kaiser Wilhelm's Ghost said:


> It's been pretty obvious from the start what the game plan was with Libra.
> 
> 
> Create a form of e-currency exchange that can be pushed through because of lobbying power and donations to key figures in government, in order to create a form of exchange that will crush any potential crypto market from ever becoming mainstream.
> ...


They also planned to use it for GOOD BOY BUCKS ala social credit for FB users


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## Glad I couldn't help (Oct 14, 2019)

If Zuckerberg though the CCP was just going to allow money to flow out of the country with his Zuckels, then he really is a fucking retard.


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## AnimeGirlConnoisseur (Oct 17, 2019)

Glad I couldn't help said:


> Zuckels


That was very clever and if you came up with that then you should feel a little good about yourself.


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## Kaiser Wilhelm's Ghost (Oct 18, 2019)

Glad I couldn't help said:


> If Zuckerberg though the CCP was just going to allow money to flow out of the country with his Zuckels, then he really is a fucking exceptional individual.



Your forgetting that the CCP has a large hand in a lot of capital flight out of China. It's a constant battle among the party elites to appear non-corrupt while siphoning off as much cash as possible, and that is particularly why things like land banking and crypto currencies in particular are a god send for the Chinese. 

Not only does it allow them to facilitate a form of currency retention outside of all but the most stringent of government crack downs, but it also allows for the movement of said money with much greater ease than it would be in the form of Yuan. 

This flexibility plus dirt cheap prices on electronics and coal fueled energy is another reason why the Chinese now form the backbone of crypto-mining. 

Even if Zuckerberg isn't able to leverage his existing relationships with Chinese tech firms and incidentally the CCP who at their core have a hand in these industries, it doesn't matter. As long as Libra is interchangeable with the most commonly mined and valuable forms of crypto currencies, then he will have a huge inflow of Chinese money regardless of how the CCP feels about it.


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