Facebook has defensively argued out that the withdrawal of the seven companies out of the Libra Association in the past week had not affected its project.
On Oct. 15, David Marcus, head of Facebook’s Calibra, stated during an interview with Yahoo Finance confidently that the project was “absolutely not” in and jeopardy after Mastercard, Visa, PayPal, Stripe, eBay, Booking and Mercado Pago abandoned it.
Companies that are not in the formal association, Marcus emphasized, would still be allowed to provide their services on the platform:
“One thing that is not well understood is that you don’t need to be a member of the Libra Association to build services and products. So if Visa and Mastercard want to issue cards for Libra wallet at a later stage, they can still do it without being members of the association.”
This expression that the Calibra executive stated shows the stability of the association even though seven companies chose to leave the project.
He further went on to thank the companies that took the courage to “look at potentially disrupting themselves” despite the fact that they “were under a lot of pressure” owing to the responsibility to their shareholders.
Regulatory concerns are not the cause of the withdrawal
Regulatory matters did not cause the seven companies to exit, according to Marcus, as Libra project is undertaken in consideration with all requisite oversight and regulatory requirements.
The executive went on to urge the association members to have the energy, passion, energy and fortitude to press forward since before the situation surrounding Libra becomes easier, it would continue to be harder and difficult.
On Oct. 14, the 21 initial members who remained, including Coinbase, Spotify, Uber, Lyft and Vodafone formally founded Libra in Geneva — just some days before this news emerged. Before its slated public launch in 2020, Libra hopes to have enlisted 100 additional members.
While Rashida Tlaib Democratic Congressperson reportedly inquired whether setting up the Libra Association was Facebook’s idea to try to form a “crypto mafia”, US President Donald Trump stated that the project “will have little standing or dependability.”