Temasek joins Libra currency project

SAN FRANCISCO • Singapore investment company Temasek has joined the Facebook-backed Libra project seeking to create a worldwide digital payments network, the Swiss-based Libra Association said on Thursday.

Temasek is among three new members announced for the association, with the other two being cryptocurrency investment firm Paradigm and private equity group Slow Ventures, both based in California.

"The addition of these three new members to the Libra Association shows our commitment to building a diverse group of organisations that will contribute to the governance, technological road map and launch readiness of the Libra payment system," said association vice-chairman Dante Disparte.

Libra, a high-profile project launched by Facebook, is tentatively scheduled to launch this year but has been battered by severe criticism from some of the world's most influential financial authorities.

Backers argue that Libra can help people outside the banking system by lowering transaction costs for many kinds of payments and transactions; critics say it could disrupt the global monetary system and currency markets.

In its latest update, the association said it is seeking approval for digital coins in individual currencies, revamping its cryptocurrency initiative in a move aimed at minimising disruption to the global monetary system.

Under the new plan, separate "stablecoins" would be created and pegged to real-world money such as the US dollar and the euro.

AGENCE FRANCE-PRESSE

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A version of this article appeared in the print edition of The Straits Times on May 16, 2020, with the headline Temasek joins Libra currency project. Subscribe