Visa and Mastercard refuse to participate in the Libra project

Visa, Mastercard and other key Libra financial partners can review their participation in the project. It is reported by The Wall Street Journal.

According to sources who are familiar with the situation, the likely reason for the refusal is criticism from American and European regulators towards Libra. Stephen Mnuchin, who holds the post of US Treasury Secretary, said in the summer that authorities were extremely excited that the project might be involved in money laundering and terrorist financing.

At the same time, the President of America noted that Libra is likely to have a low level of stability, and, consequently, reliability. The G-7 officially announced that the project could have a negative impact on the work of the international monetary system.

Bloomberg noted that PayPal Holdings Inc. and Stripe Inc. also changed their decision regarding participation in Libra. Facebook planned to launch digital currency in June 2020, but the implementation of the venture may be at risk due to pressure from regulators.