Facebook’s Libra has been facing an exodus of supporters over the past few weeks. PayPal pulled away, then Visa, Mastercard, eBay, Stripe all followed suit within days.
Now, Twitter’s tossed its hat into the ring of firm’s expressing doubt in the initiative. The firm hasn’t left the Libra foundation — it never joined in the first place. Rather, Twitter’s issued a strong rejection of Libra, stating “hell no” at the prospect of teaming up with Facebook for the cryptocurrency. Facebook says it wants to build up Libra to democratize currency and the financial system, but Dorsey stated that “a cryptocurrency wasn’t necessary to make that work.”
This latest PR hit isn’t a material hit for Libra. Twitter never committed to joining before dismissing the firm. However, Libra, as it stands, is just collecting negative news with few wins in its corner. With the prospect of regulation looming, it’s hard to see this ending well for the firm anytime soon.
Facebook could still pull Libra off. It’s not impossible, it’s just unlikely at the moment, and the more firms pull out, the more unlikely it becomes.