After being announced to the world in June 2019 with an expected launch date a year later, the Libra project from Facebook has faced enormous challenges and has almost been entirely derailed and left behind. However, changes have been made to the revolutionary cryptocurrency project that had a chance to impact billions of lives that might see it come to be — in 2021.
The issues faced by Facebook and its decision to essentially ‘create money’, as it was viewed by a number of major and powerful regulators, meant that Libra was always in trouble in getting global apprcirationa dn approval. Instead, the clamp down forced the company to either abandon, or revamp the entire thing.
The launch date for what would have been in less than a months time had to be abandoned, and the departure of major Libra Association members didn’t help, but the company’s recent pivot looks like it is back on course.
The new changes, such as Libra’s multi-currency stablecoin LBR being backed by new stablecoins, instead of by fiat currencies living in a bank account somewhere, help it get by regulators and also put it back on a certain roadmap.
Waiting on regulation
It is unsurpriisng that Dante Disparte, Vice-Chairman of Libra Association, has said that the project will not move anywhere without regulatory backing, and will now work towards this new design to be in line with what is required from regulators.
In a discussion with President and CEO of Heifer International, Pierre Ferrari to address the questions arising on the Libra payment system, Disparte made mention of the new 2021 launch date.
He also said, in being asked if Libra was still seen as a stablecoin and operated as such: “Indeed libra is through and through an economic instrument designed to be a stable coin”. It would reflect and inherits the properties of the single currency stable coins like US. dollars.”
Heifer International, along with Checkout.com, Shopify and Tagomi, are all new members who have joined since the first raft of high profile exists from the Libra association. But, there has been a recent new wave of other additions.
three new members, Temasek, Paradigm and Slow Ventures, joined to association with the intention of making the project more viable nd usable. Temasek, a global investment company headquartered in Singapore.
Meanwhile, Paradigm and Slow Ventures add to the Association’s membership of investment funds, whose technological know-how will aid in developing the blockchain and digital assets market segment.