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Libra Association Founding Members Have Not Yet Committed Financially
October 23  |  2 min read

Libra Association Partners Allegedly Have Not Yet Committed Financially

The COIN360 Editorial Team

None of the founding partners of the Libra association have committed financially to Facebook-led project and have paid the expected $10 million fee, reports BBC. Yet today during the hearing at Congress Mark Zuckerberg made an argument that the Libra Organization is an independent organization and Facebook doesn’t control it.

The Libra association was formed officially on October 14th and consists of 20 founding members with an equal say towards all actions. According to several sources, the financial question was not discussed during the first general assembly of the Libra Association last week.

Moreover, Libra Association did not comment on whether the project is fully Facebook funded or the burden is shared. The association representative confirmed that all partners committed verbally to a future fee, but the right way is to first create the budget and ratify it, instead of collecting money.

In a written testimony, Zuckerberg highlighted that Facebook will not be part of the launch unless full approval from regulators is reached. It is the first time he officially committed on-the-record to moving forward only after receiving the US regulators’ approval.

One of the Libra Association’s members shared that Facebook has started to move away from the strong association with Libra, since “it’s still a challenge” for Facebook. After all, Facebook fell out of the world’s top 10 most valuable brands. Yet, till the Libra Association reaches financial independence, total distancing seems problematic.