The Exodus; eBay, Visa, MasterCard and Stripe Quit Libra Association

Mary Brendah by Mary Brendah - 02:08 PM Oct 13, 2019

Just a week after PayPal withdrew from Facebook’s Libra project, Mercado Pago, Visa, eBay, Stripe, and, MasterCard have become the latest five companies to officially depart. This is according to the firms themselves and the Libra Association.

In fact, the departure of these firms comes as a major blow to Facebook’s ambitions to shake the global payment market. The withdrawal follows immense scrutiny from regulators and lawmakers in Europe and United states.

Furthermore, in a statement following the news, the firms claimed to respect and see the potential of the Libra project. However, they have chosen to focus on other efforts. According to a Stripe spokesperson:

“Stripe is supportive of projects that aim to make online commerce more accessible for people around the world. Libra has this potential. We will follow its progress closely and remain open to working with the Libra Association at a later stage.”

“Visa has decided not to join the Libra Association at this time. 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," said a Visa spokesperson.

However, Visa said it believed in the potential of Blockchain to improve world’s payment systems.

"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 Visa spokesperson added

Embattled Libra Project

Interestingly, earlier this week two U.S senators, Sherrod Brown and Brian Schatz, sent letters to Visa, MasterCard, and Stripe, asking them to reconsider their collaboration with Facebook Libra. However, all three companies exited ahead of a private governance meeting on Monday. The meeting was for members to sign their official charters to join the Libra Association.

In conclusion, Libra head, David Marcus via a tweet thanked Visa and MasterCard for "sticking it out until the 11th hour." Marcus added he "would caution against reading the fate of Libra into this update" and that "Of course, it’s not great news in the short term, but in a way it’s liberating."

About The Author
Mary Brendah

Mary BrendahMy first love is music – then goes writing. I don’t write fiction, I analyze bulls and bears in markets. I call it my jungle, the digital jungle of crypto and chains.


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