Facebooks Diem Association shifts its focus to the US

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Diem CEO Stuart Levy said that while the association no longer requires a license from FINMA, “the job has benefited greatly from the extensive licensing procedure in Switzerland and the constructive feedback from FINMA and more than 2 lots other regulative authorities from around the globe.”

The Facebook-backed Diem Association has revealed its plans to launch a stablecoin backed by the United States dollar as it shifts its focus to the United States. Formerly called Facebooks Libra Association, Diem was supposed to create a single stablecoin backed by a variety of international currencies. After dealing with a heap of pushback from regulators worldwide, though, the association altered its plans and decided to develop a payment network wherein coins are tied to a variety of local currencies. Now, Diem is downsizing its plans even further and has withdrawn its application for a Swiss payment license from Switzerlands FINMA monetary regulator.

Diem formerly stated that it would not launch up until it gets FINMAs blessing, but thats plainly no longer the case. Silvergate will be the unique provider of the Diem USD stablecoin and will run its blockchain-based payment system.