{"id":8591,"date":"2022-02-01T17:03:06","date_gmt":"2022-02-01T17:03:06","guid":{"rendered":"https:\/\/mailinvest.blog\/index.php\/2022\/02\/01\/meta-backed-stablecoin-endeavour-diem-to-wind-down\/"},"modified":"2022-02-01T17:03:06","modified_gmt":"2022-02-01T17:03:06","slug":"meta-backed-stablecoin-endeavour-diem-to-wind-down","status":"publish","type":"post","link":"https:\/\/mailinvest.blog\/index.php\/2022\/02\/01\/meta-backed-stablecoin-endeavour-diem-to-wind-down\/","title":{"rendered":"Meta-backed stablecoin endeavour Diem to wind down"},"content":{"rendered":"

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Meta-owned Facebook\u2019s stroll in the digital currency market has come to an end with Diem \u2013 a stablecoin project funded by Facebook winding down and selling its assets to Silvergate<\/a>.<\/p>\n

Stablecoins refer to cryptocurrencies tied to a stable asset like the U.S. dollar, to help reduce volatility.<\/p>\n

\u201cWith today\u2019s sale, Silvergate will be well-placed to take this vision forward,\u201d reads Diem CEO Stuart Levey\u2019s comment on the sale<\/a>. \u201cOver the coming weeks, the Diem Association and its subsidiaries expect to begin the process of winding down, but we look forward to seeing the design choices \u2013 and the ideals \u2013 of Diem thrive.\u201d<\/p>\n

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1\/7 From the statement by the CEO Stuart Levey on the sale of the Diem group’s assets to Silvergate \u2014 \u201cFrom the outset, the Diem project has been focused on leveraging the benefits of blockchain technology to design a better and more inclusive payment system. pic.twitter.com\/fX9ptwDt0k<\/a><\/p>\n

\u2014 Diem Association (@DiemAssociation) January 31, 2022<\/a><\/p>\n<\/blockquote>\n

Diem says that the decision to wind down business comes after it was made clear by federal regulators that the project wouldn\u2019t be allowed to move forward, quoting concerns about money laundering and other illegal activities.<\/p>\n

While Diem wasn\u2019t a project directly owned by Facebook, it did secure much of its funding from the social media giant, whose vision was to create apps like its Novi Wallet<\/a> that would use utilize the Diem token. Nevertheless, it looks like Meta isn\u2019t out of the game completely.<\/p>\n

Stephane Kasriel, head at Novi said in a tweet, \u201cAt Meta, we\u2019re continuing to execute on our existing fintech plans to create economic opportunities and champion greater financial inclusion today, and as we look ahead to the <\/span>#metaverse<\/a><\/span>.\u201d<\/span><\/p>\n

And despite the fact that Meta\u2019s links to Diem have ended, there\u2019s always the possibility that Silvergate will revamp and relaunch the project.<\/p>\n

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We hope that the Association\u2019s sale of their assets to @silvergatebank<\/a> will allow the project\u2019s vision to live on. Because we still believe in the shared financial inclusion mission.<\/p>\n

\u2014 Stephane Kasriel (@skasriel) January 31, 2022<\/a><\/p>\n<\/blockquote>\n

Header image credit: Shutterstock<\/em><\/p>\n

Source: Diem<\/a><\/p>\n<\/p><\/div>\n