Meta blockchain payment project Diem was shut down due to intense political intimidation by US regulators.According to a recent revelation from its former director, David Marcos.
Feeling moved to share your gear after Marc Andreessen’s appearance on The Joe Rogan Experience podcast, Marcos aware at
Started in June 2019, Diem, previously called Libra, was designed to build a decentralized payments network using a stablecoin pegged to the US dollar. The project was supported by Marcus’ previous companies: PayPal and Visa.
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Despite the good start, the project quickly ran into problems. Just two weeks after announcing it, Marcus was called to testify before the House Financial Services Committee and the Senate Banking Committee. This marked the beginning of Relentless efforts to address the concerns of legislators and regulators..
Jerome Powell, chairman of the Federal Reserve, seemed ready to Allowing the project to move forward after Marcus addressed issues such as money laundering and consumer protection..
However, according to Marcus, Treasury Secretary Janet Yellen intervened, suggesting that The project would be “political suicide” for Powell if it continues..
Goal decided abandon Diem at the beginning of 2022selling its intellectual property and assets to Silvergate Capital, because the Federal Reserve reportedly informed some banks of its involvement in Diem.
He now serves as CEO of Lightspark, a Bitcoin
btc
$100,615.88
-focused payment service, Marcus reflected on the lessons learned. He said:
We also learned the most important lesson of all, which is that if you’re trying to build an open monetary network for the world (eventually moving trillions of dollars a day, designed to be here in 100 years), you have to build it on top of the network and the most neutral, decentralized and impregnable asset, which, without a doubt, is Bitcoin.
Diem’s collapse highlights the tension between innovation and regulatory hurdles in the financial world. But it is not the only case: cryptocurrency founders are rejecting what many call “Operation Chokepoint 2.0.” How do you fight banking bans? Read the full story.
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