Facebook-backed Libra Association rebrands as Diem
The Libra Association, a consortium created by Facebook to support its Libra cryptocurrency efforts, announced this morning that it has a new name — the Diem Association — and made some key hires ahead of its launch.
This is just the latest course correction since the Libra project was announced last year. In an attempt to appease financial regulators around the world, the association shifted its strategy away from creating a global stablecoin and will instead launch multiple stablecoins, each tied to a different fiat currency (such as the U.S. dollar and the euro).
The project has also seen some high-profile departures, with announced partners like Visa and Stripe leaving the project. And Facebook has rebranded its cryptocurrency wallet, changing the name from Calibra to Novi.
In a statement, Diem Association CEO Stuart Levey more-or-less acknowledged that the new name is an attempt to distance the group from Facebook, and from its earlier controversies.
“The Diem project will provide a simple platform for fintech innovation to thrive and enable consumers and businesses to conduct instantaneous, low-cost, highly secure transactions,” Levey said. “We are committed to doing so in a way that promotes financial inclusion – expanding access to those who need it most, and simultaneously protecting the integrity of the financial system by deterring and detecting illicit conduct. We are excited to introduce Diem – a new name that signals the project’s growing maturity and independence.”
As for the new hires, they include Chief Technology Officer Dahlia Malkhi, Chief of Staff Christy Clark, Chief Legal Officer Steve Bunnell and Executive Vice President for Growth and Innovation/Deputy General Counsel Kiran Raj. Diem Networks, the subsidiary that will actually operate the Diem payment system, has also hired James Emmett as managing director, Sterling Daines as chief compliance officer, Ian Jenkins as chief financial and risk officer and Saumya Bhavsar as general counsel.
While today’s announcement doesn’t include any specifics about timing, it suggests the association is positioning itself for an imminent launch — albeit one that will “proceed only upon receiving regulatory approval, including a payment systems license for the operational subsidiary of the Association from FINMA.”