The Facebook-backed Diem project (formerly Libra) could launch a digital currency stablecoin pilot in 2021, according to reports.

  • The pilot will be launched with a single stablecoin pegged to the U.S dollar, CNBC reported Tuesday, citing a person familiar with the matter.
  • It will be based largely on payments between individual consumers, potentially with the option for users to buy goods and services.
  • The Diem project is currently in talks with Swiss regulators to secure a payment license.
  • Originally named Libra when announced by Facebook in 2019, the project has experienced intense scrutiny from lawmakers and regulators and witnessed the departure of a string of partners.
  • This culminated in the Libra Association scaling back its ambitions in April 2020, pivoting to the development of a number of stablecoins pegged to different currencies, as opposed to the original plan of a global digital currency backed by a basket of national currencies.

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