Another four US giants Visa, Mastercard, eBay and Stripe announced their decision to drop out of Facebook's Libra cryptocurrency project amid continued public scrutiny over the venture's fiscal policy, media reported
MOSCOW (Pakistan Point News / Sputnik - 12th October, 2019) Another four US giants Visa, Mastercard, eBay and Stripe announced their decision to drop out of Facebook's Libra cryptocurrency project amid continued public scrutiny over the venture's fiscal policy, media reported.On Tuesday, two US lawmakers urged in a public letter the CEOs of Visa, Mastercard and Stripe to proceed with caution in their support of the Libra project until Facebook provided sufficient evidence that it was taking necessary precautions to assure proper risk management to the project's participants.
According to the CNBC, the four giants pulled out from the project, each citing different reasons for their decision.
A visa representative said that the US company was choosing to suspend its involvement with Libra until the Libra Association, the organization founded by Facebook and entrusted with managing the cryptocurrency project, satisfied "all requisite regulatory expectation."
Stripe said the company would continue to follow the development of the Libra project and remained open to work with it in the future.
On October 5, payment giant Paypal became the first company to withdraw its support from the project, saying it chose to advance its existing mission and business priorities instead of participating in Libra's development.
Facebook announced its cryptocurrency project in June. However, it was met with criticism from both policymakers, concerned about Facebook's dominating role on the market and user privacy issues, and regulators, which said the proposed cryptocurrency needed to adhere to global banking regulations.
