Facebook-backed Diem Association confirms ‘expiration’

Diem, a major crypto project sponsored by Facebook has collapsed. Diem Association that it is selling its assets at Silvergate, a bank affiliated with the group, and that it “is about to run out.” Bloomberg was sales news last week. A spokesman for the Diem Association states that at the time the report was not listed as “actual error.”

Now that the sale is legal, I end up with more than two years of trying to establish stablecoin under Mark Zuckerberg. Although the Diem Association was a separate entity from Facebook and the parent company Meta, most of its revenue came from Facebook. “I believe this is something that needs to be built, but I feel I am not the right messenger right now,” Zuckerberg told Congress in 2019. of its cryptocurrency aspirations.

The group formerly known as the Libra Association was optimistic its stablecoin Januaryware last. But it faced repeated obstacles from legislators and regulators around the world, and the work was delayed and often. Some of the officials’ concerns were that Diem could be used for money laundering and other illegal activities.

In a statement, Diem CEO Stuart Levey blamed US authorities for Diem’s ​​death, and defended the agency’s work to reduce risk by “advanced industry authorities to protect consumers and prevent economic crime.”

“Despite giving us a good idea of ​​network design, it became clear in our discussions with government officials that the process could not progress,” Levey said. “As a result, the best way forward was to sell Diem Group assets, as we did today at Silvergate.”

It is unknown at this time what he will do after leaving the post The “little driver” last year was Pax Dollar stablecoin. At the time, former Facebook crypto CEO David Marcus said the company was still committed to launching Diem. Marcus left the company a month later. Facebook did not immediately respond to a request for comment.