PayPal has officially become the first backer to pull out of Facebook’s Libra project

Facebook’s cryptocurrency project has lost one of its partners, but more may leave soon.

PayPal has left the Libra initiative to focus on its own business. In a statement, the payments company said, “We remain supportive of Libra’s aspirations and look forward to continued dialogue on ways to work together in the future. Facebook has been a longstanding and valued strategic partner to PayPal and we will continue to partner with and support Facebook in various capacities.”

PayPal is the first of the 28, now 27, original partners to leave the project. However, a Wall Street Journal story suggests that MasterCard and Visa are also considering abandoning Libra.

Each of the members of the association has pledged to back the company with $10m.

Since announcing the project, Facebook’s Libra has been scrutinized by regulators across the world. since it was announced this summer.

In Switzerland, where the association is headquartered, Mark Branson, the CEO of FINMA, the Swiss independent financial market regulator, has stated that the cryptocurrency would face the same regulatory anti-money laundering scrutiny that big banks do.

Although, he added that it was not the regulator’s job to “make such projects impossible.”

Bruno le Marie, France’s finance minister, has warned that Libra would put countries’ monetary sovereignty at jeopardy. In mid-September, he argued that Facebook’s bid to privatize how currencies are issued would create a risk of it being abused.

A board member of the European Central Bank made a similar argument in early September.

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