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Facebook-backed Diem Association would dissolve and sell the intellectual property and other assets related to its planned cryptocurrency network to Silvergate Capital Corporation for $182 million.
The "winding down" will begin in the coming weeks.
It was back in June 2019 when Facebook unveiled its cryptocurrency project called Libra, which would be backed by an international consortium of companies.
Libra, renamed Diem last year, was meant to provide financial services to the underbanked and extend Facebook’s mission of connecting the world into the digital money market.
However, various setbacks and regulatory pressure made it impossible for Diem to get off the ground.
Regulators, lawmakers, and other financial services industry watchers have expressed concern about a cryptocurrency run by Facebook, which has struggled to prevent issues such as crime and abuses of user data on its existing platforms.
Diem's end is a sign that regulators hold some sway over Facebook and its ability to expand into new product areas.
