Facebook-backed Digital Currency Diem To Be Tested In 2021

Cited in a CNBC report released on Tuesday, an anonymous source claims that Switzerland-based nonprofit The Diem Association plans to pilot the USD-backed stablecoin project later this year. The project will be small in scale and will focus mainly on transactions between individual consumers.

In November 2020, the association announced its plans for a limited launch of a USD-backed stablecoin in January, but after a few months the currency never saw the light of day. The Diem stablecoin is a greatly reduced and modified version of Facebook's original vision for a global digital currency that would be pegged to a basket of multiple fiat currencies.

Diem's ​​senior management team has expanded to include renowned executives, including appointed CEO Stuart LEVEY, former Chief Legal Officer of HSBC. Diem is currently in talks with Swiss financial regulators to obtain a payment license.

Image: Glas