Facebook-backed cryptocurrency project Diem, formerly Libra, is moving from Switzerland to the U.S. In collaboration with Silvergate Bank, the association, which oversees the development of the diem cryptocurrency, has unveiled a new launch plan.
Facebook-Backed Stablecoin Has New Launch Plan
The Diem Association announced Wednesday a partnership between Diem Networks U.S. and Silvergate Capital Corporation (NYSE: SI). Silvergate is a California state-chartered bank and a member of the Federal Reserve. Diem Networks U.S. is a wholly-owned subsidiary of the association. It plans to register as a money services business with the U.S. Department of the Treasury’s Financial Crimes Enforcement Network (FinCEN).
The 26-members association explained that “Under this partnership, Silvergate Bank (‘Silvergate’) will become the exclusive issuer of the diem USD stablecoin and will manage the Diem USD reserve,” adding:
The Association is also…