Facebook (Meta) Gives Up: Diem Is Officially Sold!
#Meta created the #Diem project after more than two years of effort to launch the digital currency project, Meta is now giving up on Diem.
#Meta, formerly #Facebook, is officially announcing that its digital currency project Diem is shutting down despite years of great effort to keep it moving forward. Meta was originally called Libra. Libra introduced its digital currency project in 2019 , working with #Mastercard, #PayPal, #Visa, #eBay and other global companies . In December 2021, Meta made #WhatsApp messenger test payments with #Novi wallet in the USA.
🟥Diem is Sold to Silvergate
Diem CEO Stuart Levey reports that Meta has sold its intellectual property and other assets related to the Diem stablecoin project to #Silvergate Capital Corporation.
Levey says the Diem Association and its subsidiaries will begin shutting down operations in the coming weeks. However, the Diem Association believes that the Diem project will continue to evolve. The CEO of Diem uses the following statements on the subject:
“It was the potential for a stablecoin working on the blockchain that motivated the Diem Association from the very beginning . With today's sale, Silvergate will further this potential.”
According to an official announcement by Silvergate, the company is purchasing Diem's assets for a total of $182 million. The firm plans to integrate the purchased assets into Silvergate's existing technology.
In addition, Silvergate wants to integrate Diem with its subsidiary, Silvergate Bank. Silvergate believes that the integration of Diem with the Silvergate Exchange Network payment platform will facilitate transactions. Thus, it aims to launch a new generation global payment system that is faster, easier to use and more cost-effective than existing solutions.
🟥Is A New Stablecoin Coming?
Silvergate sees this payment method as a need in America. Silvergate states that the dollar-backed stablecoin is regulated and scalable for barrier-free money transfers. Silvergate CEO Alan Lane is considering launching a stablecoin in 2022 to meet this need.
While the Diem Association is being sold, some association members are creating their own stablecoin projects. PayPal says it may launch a stablecoin that could be called PayPal Coin.