Singapore’s Temasek, which is among the largest institutional investment firms globally, has thrown its weight behind the under fire Facebook’s Libra cryptocurrency project. The state-backed investment firm is the latest organization to join the Libra Association.
After losing key partners due to regulatory concerns over Libra, the Libra Association announced the addition of Temasek and two more new members on May 14. The other inclusions are digital currency investment firm Paradigm and private equity firm Slow Ventures.
Singapore’s Temasek becomes first Libra Association member from Asia
Besides being the first state-backed company to join, Thursday’s inclusion of Temasek to the Libra Association made the investment firm the first Asia-based member. Singapore is widely acknowledged as the financial technology hub of Asia. In addition, the country’s administration is very supportive of cryptocurrency related technology, and financial technology innovations.
Facebook revealed its Libra cryptocurrency project back in 2019; as an international digital payments platform that will be backed by multiple fiat currencies. Nevertheless, Facebook’s cryptocurrency idea was heavily scrutinized by regulators globally, who were worried the cryptocurrency would disrupt the financial system; giving a firm with privacy scandals total control over people’s resources.
Temasek among Libra Association’s key members
Following the scrutiny by the U.S government and various other governments, a number of high profile companies have pulled out from the project.Global firms such as MasterCard, Visa, Vodafone, PayPal and others have abandoned the Libra cryptocurrency project. As a result, Singapore’s Temasek is now one of the most significant members of the Libra Association; with a portfolio value of about $219 billion.
“Our participation in the Libra Association as a member will allow us; to contribute towards a regulated global network for cost effective retail payments,” Chia Song Hwee; the deputy CEO at Temasek, highlighted in a statement. “Many developments in the space excite us – we look forward to further exploring the potential of the technology.”