Diem, which is backed by Facebook has declared that they move their business from Switzerland to the US and plan to pilot their own stablecoin.
Facebook's plans to release its own token turned out to be so long-lasting that, in fact, they still last. After all the difficulties and qualifications within the team, the Diem Association finally told us about the coming launch of a stablecoin in the US. The only problem is that the latest news related to the ex-Libra was Diem's desire to obtain a license from the Swiss regulator.
Now, Diem has stated that it has removed its license request and intends to “move” its quarters from Switzerland to the USA. As part of this initiative, the team began cooperation with California-based Silvergate Bank. Today it serves several crypto companies at once, having been integrated with Circle USDC and Coinbase since 2018. The SEN has already processed more than $166B transfers in Q1 2021, up from $17.4B in Q1 2020. The cooperation also assumes that the bank would receive issuer rights for the future Diem USD stablecoins.
Diem's current plan resembles the most optimized version of what Facebook was talking about in the summer of 2019. Recall that then it stated the future launch of its Libra digital currency in collaboration with such mastodons as Visa and PayPal. However, due to efforts from local regulators, the plans were destroyed, and key partners turned away from the largest social network.
The official Diem resource no longer contains detailed information about the current partners of the project. However, Uber, Spotify, Lyft, Coinbase, and Shopify have not yet publicly announced their departure. These companies are likely to be able to form the skeleton of the project, and with support from Facebook, Diem will be able to provide a convenient means of payment for platforms such as WhatsApp and Facebook Messenger.
The only strange thing is that while Diem announced its plans to implement stablecoin, their Facebook backer has remained silent. Does this mean that the parent company has already become disillusioned with the project and let the future of Libra run its course?