California-based financial institution Silvergate Capital is buying the technical resources of the stablecoin project Diem, developed with Meta’s support, for $200 million.
According to the news reported by the Wall Street Journal, citing people with knowledge on the subject, the $200 million sale is an indication that Meta’s vision for crypto money has “failed.”
The project, which was formerly supported by Facebook and now named Meta, and changed its name from Libra to Diem, was planned to be a stablecoin project supported by fiat currencies such as the American dollar.
In Bloomberg’s news a few days ago, under the management of Diem Association put assets up for sale is in talks with some customers for prepared to return had been reported.
Diem Association, as well as Meta Uber, a16z, Temasek, Spotify, Coinbase and Ribbit Capital Although it has members like investor status is unknown.
Diem, which Meta has been trying to bring to life for several years, has been widely used in many countries around the world since its announcement. regulator’s response pulled. In the news reported last year, Meta subsidiary Novi plans to work with an issuer other than Diem. had been reported.
David Marcus, a former executive at Meta and co-founder of Diem, also left the company towards the end of last year.