A former Facebook cryptocurrency project has distanced itself in a quest for organizational independence. Formerly, Libra cryptocurrency, Diem, received a lot of criticism because it distanced itself from Facebook and seemed like a threat to governments’ financial systems. The project now goes by Diem Association and the currency, according to Bloomberg reports, is the Diem Dollar. Since its’ announcement, it has shrunk significantly.
“The Diem project will provide a simple platform for fintech innovation to thrive and enable consumers and businesses to conduct instantaneous, low-cost, highly secure transactions,” Stuart Levey, Diem Association CEO, said in a press release.
Facebook initially pitched Libra as, essentially, a mainstream cryptocurrency that could be spent online or offline, much like the dollar. It was meant to make digitally transferring money quicker and easier than it is today, and companies like Facebook would be able to offer financial services around it. Facebook initially announced plans for a digital wallet, called Calibra, that could offer these services, with the company positioning Calibra as its means for turning its investment in the project into a potential moneymaker. The wallet app has since been renamed Novi.From The Verge
It is now launching in limited form, different from when it started as a single coin pegged to multiple currencies and later changed to offer multiple coins to complement domestic currencies. Diem aims to provide simple platforms for transactions that are instantaneous, cheap, and very secure. Additionally, it is expected to launch projects that oppose Facebook’s mainstream cryptocurrency idea.