None of 20 Facebook’s Libra Partners Yet Committed Any Money: BBC

Libra has not received any financial support from any other source than Facebook itself to date, BBC alleges.

None of the 21 founding members of the Libra Association, except Facebook, have yet committed any money to support Libra, according to the BBC.

$10 million investment initially required

Since the announcement of the Libra Association Council in June 2019, no financial agreement for the founding partners has been made to date, BBC reports Oct. 23, citing several unspecified sources.

Alongside the release of the Libra whitepaper in June, Facebook announced that each of the founding members was required to make a minimum investment of $10 million in order to seal the position and secure a vote on the council.

According to the BBC’s sources, the members have not discussed the fee at the Libra Association’s first general assembly last week. While the Libra association declined to comment on the issue, the report alleges that the project has not received any financial support from any other source than Facebook itself.

Seven partners recently left the association

The Libra Association, a non-profit consortium for governing the stablecoin project, held its inaugural meeting in Geneva on Oct. 14. Originally backed by 28 founding members, Libra has recently lost seven partners, namely PayPal, Visa, Mastercard, Stripe, eBay, Mercado Pago and Booking who decided to leave the consortium. 

Subsequently, David Marcus, the head of Facebook's crypto wallet Calibra, commented that the withdrawal of the seven firms has no impact on the project.

Facebook CEO Mark Zuckerberg will soon testify before the House of Representatives Financial Services Committee as the hearing is scheduled for today at 10:00 AM EDT.