Four Major Libra Partners Consider Dropping Support

The Libra has taken a lot of heat from regulators in the past few months, but it seems that it is now having problems internally as well. Four major companies that initially signed onto the Libra Association are considering dropping out entirely.

Libra Faces Pushback from Within Its Ranks

Visa, Mastercard, Paypal, and Stripe are the four companies mentioned in a recent Bloomberg report. All are currently undecided whether to stay on board, and none have formally signed anything yet. Executives at these leading firms believe that Facebook effectively ‘oversold’ how easy its cryptocurrency would pass regulatory scrutiny. Now, with criticisms not just in the U.S. but throughout the world, the companies believe that associating with the Libra could further isolate them, as BeInCrypto has previously reported. The departure of payment processing giants like Visa or Mastercard could be the biggest blow to Facebook’s cryptocurrency plans yet. It’s clearly a ‘now or never’ moment for Facebook. The Libra Association is even asking that its founding 28 members reaffirm their commitment to the project, which sparked this dissenting opinion among these four members.

Association Members to Be Finalized in the Coming Weeks

This internal conflict comes at the same time that Facebook has been pressuring its founding members to sign formal agreements, thus committing themselves to the project. David Marcus, the executive leading the Libra, has said that the “[first] wave of Libra Association members will be formalized in the weeks to come.”

Felt like addressing this. 1) official 1st wave of Libra Association members will be formalized in the weeks to come; (continued) https://t.co/baZkFlGN9O

— David Marcus (@davidmarcus) October 1, 2019

It remains to be seen whether Facebook can continue to operate under the auspices that ‘everything is fine’ internally. This just may be the biggest threat to its cryptocurrency ambitions yet. Do you believe that the Libra will still launch in 2020? Let us know your thoughts below in the comments. 

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