PayPal drops out of Facebook's Libra project

PayPal has pulled out of the Libra Association that is looking to launch Facebook's digital currency Libra.

It did not specify what had prompted the decision, stating that it "[remained] supportive of Libra's aspirations" but would now focus on its own core businesses. PayPal was one of the original members of the Libra Association, alongside the likes of Visa and Uber.

There has been a huge backlash against the project, with US lawmakers expressing concerns about privacy and Facebook’s growing reach, and officials in Germany and France saying they would bar Libra from their countries.

In a statement, Libra Association said it was aware that attempts to "reconfigure the financial system" would be hard. "Commitment to that mission is more important to us than anything else," it added. "We're better off knowing about this lack of commitment now."

Apple

Apple has entered the mobile payments space with Apple Pay, but has no interest in creating its own digital currency, the company’s CEO Tim Cook said this week.

In an interview with Les Echos, he commented: “I’m not comfortable with the idea that a private entity can create a modern currency.”

“Currency, like defence, should remain in the hands of states - it’s at the heart of their mission,” he added. “We elect our representatives in order for them to assume the responsibilities of government. Businesses are not elected - they should not encroach on this space.”