Partnership with Silvergate Bank for Facebook-backed stable crypto money
#Facebook's crypto money project #Diem, formerly called #Libra, has decided to leave #Switzerland. With the official statement made yesterday, it was stated that the center will be in the #USA again and that a partnership has been established with #Silvergate #Bank for Diem issuance.
In addition to the relocation, Diem's statement stated that it will be compatible with the US Financial Crimes Network ( #FinCEN), and it was informed that the compliance process with the financial control power of Switzerland, #FINMA, is currently suspended.
↘️The center will be Washington
There has been no explanation as to which state of the USA the Diem center will be located in, but according to #CNBC's claim, this will be Washington. Despite Diem's announcement of the partnership, it was also noteworthy that from Silvergate, it was stated that the parties are continuing with the technological and operational preparations and that the final articles were discussed for the final agreement.
Despite all these developments and preparations, technological developments are not the biggest obstacle for Diem. Diem's move to the USA actually came after two years of very serious regulation discussions. As will be remembered, at the beginning of 2019, when the Facebook money, which was called Libra at that time, was officially announced, one of the biggest concerns of US politicians and regulatory agencies was that the headquarters of the company was in Switzerland. In fact, Facebook founder Mark Zuckerberg and Libra's co-founder and board member David Marcus stood before the Congress and informed them about Libra.
The Libra Association subsequently underwent serious changes, recruiting people from the US Department of Treasury and Homeland Security to the board of directors, and transformed its base, supported by many global currencies, into US dollar-backed stablecoins.
50 million transactions passed in tests in January
Aiming to enter traditional markets with its fast payment features, Diem's test network in January passed 50 million transactions and it was seen that 3 transactions could be performed per second in the controls. This figure is currently 4.6 in Bitcoin, 15 thousand in Ethereum, and 65 thousand in the #Solana network and #Visa.