It has been a very rough month for the proposed cryptocurrency called Libra created by Facebook. Libra made headlines around the world when Facebook first announced the project. There are many very large payment processing companies that jumped on board to be a part of it. However, things started to fall apart for Libra in very short order. Companies like PayPal and Visa backed out because of the problems that Libra was getting from politicians around the world. It is believed that Libra might destabilize currency values around the world if it is ever launched.
Facebook received more bad news this week when it was revealed that Vodafone will no longer be a part of Libra in any way. This latest high profile departure is another big setback for Facebook. The social media giant had hoped to launch Libra at some point in 2020. It seems very clear that is not going to happen. Facebook CEO Mark Zuckerberg has said as much. That brings the total number of companies that have left the Libra project to eight. It is not known at the present time what prompted the departure of Vodafone. However, the fact that Libra has made very little progress over the past several months probably has something to do with it.
Zuckerberg endured a nationally televised grilling in front of politicians in Washington several months ago. Many of the questions had to do with Libra. The consensus is that Zuckerberg did not come off well during his testimony. Despite meeting personally with President Donald Trump, the Libra project remains stalled with no signs that it is going to get started again any time soon. All of the big companies that have left the Libra project have given Facebook a black eye that it will be hard to recover from. It is very doubtful that many companies are going to get involved with Libra again after the debacle of the launch.
Zuckerberg argued in his testimony that China is currently creating their own cryptocurrency. Therefore, Zuckerberg told the politicians that it was important for Libra to launch first. This would give the United States a leg up on the Chinese. However, it does not seem like the politicians were buying what Zuckerberg was selling. It has been several months since his testimony and politicians have done nothing to help with the launch of Libra. That speaks volumes about their feelings towards it.