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Dan Schulman explains the reasons that prompted PayPal to abandon Libra

The project Pound it seems destined to be talked about a lot, in consideration of all that is happening on the sidelines of the expected launch of the new digital currency on Facebook.
Among the issues that have made people talk a lot in the past weeks there is also the one concerning decision to abandon the project by some of the partners who had expressed their favor before. Among the brands that have decided to do so there is also PayPal, one of the first to do so in October and now just from within the company comes a first explanation of the reasons behind the defection.

Schulman's statements

In an interview granted to Fortune.com, the CEO of PayPal, Dan Schulman he also addressed the theme of the motivations that led the company he led to renounce the Libra project, premising that the decision, which could also be temporary, should not be considered as an act of war, but is due to a series of considerations made within PayPal.
In particular, Schulman stated that this would be the logical consequence of the will of concentrate all the group's efforts on their projects, without wasting resources that could be useful in this regard.
In practice PayPal is reportedly pursuing technology-focused development plans blockchain and he preferred therefore to concentrate totally on them, basing this decision on a simple observation: releasing from Libra the financial inclusion projects he is working on could give results much earlier than remaining within the Facebook project.

The doubts left by Schulman's statements

Did the war between Facebook and politics, in particular the US one, not affect the evaluation of PayPal? In fact, it seems difficult to believe, precisely because it was not the only major undertaking to leave the ship in the days when the clash between Mark Zuckerberg's company and Congress reached very harsh tones. It seems much more likely that PayPal has sniffed the air and rather than stand against the political and monetary institutions of the United States, it has decided to break away from a project that is ultimately not absolutely decisive for its future fortunes, before the conflict could escalate.

And if PayPal thought of its digital currency?

The words spoken by Schulman rather than clarify, however, seem destined to entangle the question concerning the renunciation of PayPal. Some analysts, in fact, took their cue from the statements to affirm that the desire to concentrate all efforts internally on projects related to the blockchain, would be due precisely to the intent of give life to a cryptocurrency to be used within its payment system.
A project that was talked about a lot in the past and then suddenly disappeared. However, like a karst river, the virtual currency of PayPal could now reappear on the surface. An intriguing thesis, but one that for now it does not seem topical according to many other experts, which base their thesis precisely on the widespread hostility that the political world of stars and stripes continues to reserve in respect of all the projects that could go to undermine the imperial power of the dollar.

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Dario Marchetti

I have a degree in Literature and Philosophy from the Sapienza University of Rome, with a thesis on the eastern border of Italy at the end of the First World War. I have collaborated with several sites on many issues and led the work group that published the official CD-Rom of the SS Lazio "History of a love" and "Photographic History of Magical Rome".

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