After changing names many times, and a number of famous people being recruited (and then resigned), the Meta-made cryptocurrency now called Diem finally gave up.
The association behind Diem confirmed that they had sold its company's assets worth USD 200 million to Silvergate, a crypto bank, which had previously worked with Diem.
The decision was taken after Diem discussed with regulators in the US, which banned the project from continuing. That was said by Diem CEO Stuart Levey in his press statement. It was previously known that regulators in the US, including the US Federal Reserve, did not agree with the launch of Diem.
The sale of Diem's assets marks the end of Meta's efforts-formerly Facebook-to penetrate cryptocurrencies. That started from the Libra Association, which was very short -lived due to various rejections from many countries, until it finally changed its name to Diem.
In fact, Facebook works with Libra along with many other large companies. But many people fear that Libra will make Facebook - which is already quite controversial - even stronger. Plus many of their partners in the Libra Association then many resigned.
Although Meta's hope in Diem is over, Silvergate or other companies could revive this project. Despite Meta's reputation that makes Diem's name ugly, this project is actually somewhat transparent and more friendly to regulators than other stablecoins.
Libra was first announced by Facebook in mid -2019. At that time, they speculated that Libra would be used by the billions of Facebook users for financial transactions around the world.
Libra users can send money to other users, which can also be used to pay for products or services that support the use of this digital currency. Libra is based on a blockchain network and is not designed as a speculative asset like bitcoin whose value is highly fluctuating.
Facebook says Libra aims to connect people who previously did not have access to traditional banking platforms. And with a monthly user base of 2.4 billion people, Libra could shake the world's banking system.