The signing of the Libra Association Charter is fast approaching on October 14 amidst the global payment providers doubts on the project. According to sources familiar with the matter, four global payment giants in the Libra Association – PayPal, Visa, MasterCard and Stripe – are having doubts on the success of Libra, Facebook’s cryptocurrency.
Visa, MasterCard, PayPal look for a way out of Libra
Facebook’s recent plans to launch a digital currency has sent jitters through the international finance world. Executives of some of the Libra backers which came to light in June have declined Facebook’s request to support the project.
Visa, MasterCard, Stripe, and Paypal are the latest executives to cast a shadow of doubt in their support of the global payment system using cryptocurrency. Despite signing a non-binding contract to form the Libra Association, the payment giants feel less so optimistic on the project was given the continued regulation backstops Libra is facing the world over.
Low confidence on Government Regulations
According to reports on Bloomberg, the executives from the company have grown concerned on Facebook’s involvement in Libra. Furthermore, they feel shortchanged on Facebook’s promise of having governments across the world support the crypto. So far, jurisdiction after jurisdiction have been showing concerns on the power of Libra overshadowing monetary policies in the states.
Since its announcement in June, the “unreleased crypto” has received a series of backlash from the United States of America, European Central Bank and the government of China who are all but convinced that the new project will destabilize currencies and bring in a digital currency war.
“All Is Not Lost”
CEO of Calibra, David Marcus, has come out strongly to defend the crypto project on Twitter claiming none of the partners in Libra Association has shown desire to leave the association. The highly optimistic CEO further said a meeting among the partners is set to be held on Thursday, October 3 with details about the meeting yet to be clear. However, the charter signing on October 14 is set to go on as planned.
He called on the partners to remain committed in the project for it to succeed. He tweeted,
“Change of this magnitude is hard and requires courage + it will be a long journey. For Libra to succeed it needs committed members, and while I have no knowledge of specific organizations plans to not step up, commitment to the mission is more important than anything else.”