PayPal is quitting Facebook's Libra project

Facebook's Libra plans continue to struggle as PayPal is ready to quit the Libra payment project, and the Visa and Mastercard also reconsidering their involvement in quitting from the project amid increasing regulatory pressure at home and abroad.

That comes as the payments giant pulled out of a key meeting called by the Libra Association in Washington, D.C. -- a precursor to a scheduled Oct. 14 meeting in Geneva.Facebook hasn't yet done enough to assuage PayPal's worries about a backlash, particularly concerns over money laundering, as per the report.

According to the Financial Times, PayPal was the only one of Libra's 28 backers not to attend a Thursday meeting in Washington to discuss how to deal with regulatory hostility to the project.

Citing sources, the FT says PayPal is on the verge of quitting Libra amid concerns about the lack of work done by Facebook to address regulators' concerns over issues such as money laundering.

Earlier in the week, the Wall Street Journal reported that Visa and Mastercard are considering their involvement in the project over similar worries about the regulatory and political response.

Competition watchdogs at the European Commission have already begun probing potential anti-trust issues relating to Libra, while the US Federal Reserve and other central banks have expressed concerns over the threat posed to financial stability and monetary sovereignty.

Responding to the WSJ story, David Marcus, the current Facebook and former PayPal exec who is chaperoning the project at the social media giant, said in a tweet "I have no knowledge of specific organizations plans to not step up".