Vodafone exits from Facebook’s Libra cryptocurrency project

Facebook Libra. (Photo: iStock)


British telecom conglomerate Vodafone has become the eighth firm to back out Facebook’s digital cryptocurrency project, Libra.

With this move, Vodafone joins Paypal, Mastercard, Visa, Mercado Pago, eBay, Stripe and Booking Holdings in withdrawing from the controversial cryptocurrency project.

The companies left because the project got into trouble with sceptical regulators across the globe.

Vodafone however, is the first company to pull out after the Libra Association was formed in October last year. It was the same time when the world’s biggest economies warned cryptocurrencies such as Libra to pose a risk to the global financial system.

“Vodafone Group has decided to withdraw from the Libra Association,” a Vodafone spokesperson was quoted as saying in a BBC report. “We have said from the outset that Vodafone’s desire is to make a genuine contribution to extending financial inclusion,” spokesperson added.

Meanwhile, the head of policy and communications for the Libra Association Dante Disparte was quoted as saying, “although makeup of the Association members may change over time, the design of Libra’s governance and technology ensures the Libra payment system will remain resilient.”

(With input from agencies)