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| Facebook faces another setback after it leaves Vodafone Libera |
The British telecom operator Vodafone is the eighth company to abandon the Facebook digital currency project called Libra and withdraw from the Libra Association, which runs the global digital currency initiative launched by Facebook, with which Vodafone and Libra confirmed that the company is no longer part of the association.
Vodafone is converting the resources previously allocated to the scale into the successful digital payment service M-Pesa, which the company plans to extend its scope beyond the current six African countries.
Vodafone's waiver of the balance currency appears to focus on the digital payment service, rather than on regulatory issues that seem to intimidate other former members.
Vodafone leaves the controversial suspicious currency project along with PayPal, MasterCard, Visa, Mercado Pago, eBay, Stripe and Booking Holdings, which is the first company to drop out after the institution's official foundation in October 2019.
Payment companies may have left because of fears of increased regulatory oversight, which was threatened by many US Senators.
A spokesperson for Vodafone said in a statement: The company believes that it can provide affordable financial services to the world's poor by focusing on M-Pesa today, and we have said from the start that Vodafone's desire to be true has contributed to expanding the scope of financial inclusion, and we remain fully committed With this goal.
Dante Desparet, an official of the Libera Association, responded to Vodafone's decision and said: Although the composition of the association's members may change over time, the design of the system of government and technology ensures that Libera will change the Libera payment system remains flexible and the association continues to work on a safe and transparent application . And a consumer friend of the balance payment system.
A Vodafone spokesman did not rule out the possibility of future cooperation with the Libra Society. According to reports, the Libera Association plans to add new members in 2020. There are currently 1,500 companies waiting and a two-thirds majority of the current members must agree to add a new member.
The digital currency project has faced many issues due to concerns of legislators and regulators around the world since Facebook announced it in June. After Calibra Digital Wallet was launched, Facebook promised the scale would be approved by US regulators.
The Libra Association is originally composed of 28 support companies to help manage currencies. The founding members must invest at least $ 10 million to fund the association's ongoing costs of launching the adoption incentives program on the basis of the project's initial announcement on Facebook.