Twitter Inc. TWTR co-founder Jack Dorsey has responded to news that Meta Platforms Inc. FB CEO Mark Zuckerberg is exploring a sale of the controversial cryptocurrency project Diem.
What Happened: Dorsey tweeted “Carpe Diem” in response to a report by Bloomberg that the Diem Association set up by Meta to manage the digital token is weighing a sale of its assets after regulators opposed the project. His tweet suggested that the project will be shut down soon.
Carpe Diem is a Latin phrase meaning “seize the day,” and is used for saying that people should enjoy the present rather than worrying about the future.
Diem, unlike the apex cryptocurrency Bitcoin BTC/USD, was proposed as a so-called stable coin.
See Also: Meta Plans To Allow Users To Mint, Sell NFTs On Facebook, Instagram: Report
Why It Matters: In June 2019, Meta Platforms — then known as Facebook —announced plans to launch its own digital currency called Libra within the next year.
However, companies such as PayPal Holdings Inc. PYPL and Visa Inc. V bowed out of the project after it faced stiff opposition from regulators around the world.
Libra was later renamed as Diem Association, but faced another setback after the project’s co-creator David Marcus left Meta last year.
Silvergate Capital Corp.’s SI affiliate Silvergate Bank was selected to issue the Diem stablecoin, but the move faced stiff resistance from the U.S. Federal Reserve and dealt the Diem project “a final blow,” as per the Bloomberg report.
Price Action: Meta Platforms shares closed almost 2.8% lower in Tuesday’s regular trading session at $300.15, but rose 0.1% in the after-hours session to $300.54.
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