According to a press release, The Libra Association has changed its name to The Diem Association. The rebranding is likely an attempt to distance itself from the negativity associated with the Libra project and the controversial involvement of Facebook.
“Now transitioning to the name “Diem”, which denotes a new day for the project, the Diem Association will continue to pursue a mission of building a safe, secure and compliant payment system that empowers people and businesses around the world.”
Diem. A new name for a new day, when it’s easy, secure, and affordable to send money anywhere.
Together, we’re building a trusted, #innovative financial network for people and businesses around the world.
Come see our work: https://t.co/SKGuO1eagJ pic.twitter.com/grgtUUT3LL
— Diem Association (@DiemAssociation) December 1, 2020
Almost immediately after Libra launched in June 2019, the project faced massive backlash as politicians and regulators feared that it would destabilise monetary policy, facilitate money laundering, and destroy users’ privacy. Following the backlash, a number of the project’s original members fled, citing regulatory risks, before Libra could even get started.
The revised White Paper further reduces Facebook’s role in the project and reads:
“While Facebook teams played a key role in the creation of the Association and the Libra Blockchain, they have no special rights within the Association.”
According to a report by the Financial Times, the project may launch a single, Dollar-pegged stablecoin as early as January 2021. Initially, the project was going to be a single coin pegged to multiple currencies. According to a report by Bloomberg, the coin will be called Diem Dollar.
Feature image by Bharat Bhise from flickr