Secretly Diem Starts Selling Assets, The First Step To Become An Internet Currency

Diem, trying to be the currency in the internet world. (photo: twitter)

JAKARTA - Meta-backed crypto initiative "Diem" has reportedly tried to sell its assets. But it seems that it will still take time for the big ambition of Facebook founder Mark Zuckerberg to make the stablecoin the world's internet currency.

Diem, formerly known as Libra, is a Meta Platform cryptocurrency initiative. According to an insider who spoke to Bloomberg, it is considering selling assets to return capital to its investors.

The source said Diem is in discussions with investment bankers to determine the best way to sell his intellectual property and cash in on whatever value the project retains.

It's unclear how the companies will be assessed, and there's no guarantee that they'll be able to find a buyer. According to the source, about a third of the business is owned by Meta. The remainder is owned by associate members and partners, which include Coinbase Global, Uber, and Shopify.

As reported by Cointelegraph, Diem has sparked a lot of controversy in the short time over its existence since its launch on June 18, 2019. Libra, as it was known at the time, was intended to be managed by a consortium of Swiss-based companies called the “Libra Association.”

However, news of the project's launch sparked immediate resistance from the US government and regulators around the world, citing concerns about privacy and monetary sovereignty. Both Facebook CEO Mark Zuckerberg and the former head of Libra, David Marcus, testified before the House Financial Services Committee.

At a July 2019 hearing, Ohio Senator Sherrod Brown asked Marcus, "do you think people should trust Facebook with their hard-earned money?"

“If our country fails to act, we could soon see digital currencies being controlled by others whose values are very different from ours,” Marcus replied.

Barred by regulatory scrutiny, many partners began to leave the project altogether, eventually including Marcus himself. It was at this point that it changed its name to Diem, hoping to dispel the mass regulatory panic that drowned out Libra's initial announcement.