Facebook Designing A Cryptocurrency Payments Infrastructure

Facebook Designing A Cryptocurrency Payments Infrastructure

Ready to join our tribe?

We respect your email privacy

Subscribe now to recieve exclusive updates and offers!

According to a report in the Wall Street Journal, Mark Zuckerberg, founder of Facebook, and his team are courting financial institutions to back their attempt at entering the crypto market with an e-commerce platform. Seeking a cool $1 billion for this blockchain operated acquiring services, the social media giant has its work cut out for it.

Discussions with potential stakeholders, including financial backers and online merchants, who would ultimately make use of the platform, have reportedly already begun. However, it is not yet clear how advanced these talks are, with many skeptical about Zuckerberg’s reputation in the crypto community.

News that Facebook was seeking institutional investors was broken earlier in the year by The New York Times’ own Nathaniel Popper. However, the real purpose for this new investment was not immediately clear at the time.

Uncovering Project Libra

According to the Wall Street Journal’s report, this new push towards entering the cryptocurrency sector has been codenamed “Project Libra” by the team. Major players in the payments industry, such as Visa and Mastercard, have also reportedly been approached for potential partnerships. There have apparently also been talks with First Data, an e-commerce and merchant services provider which caters for over 6 million businesses.

Further details of this project also reveal the true intentions of Facebook’s cryptocurrency ambitions. The company aims to launch a token which will serve two distinct purposes. Naturally, part of the token’s use will be through the social media’s existing portfolio of apps, including Whatsapp and Instagram. Users could get rewarded with a percentage of a token for viewing ads or engaging with content in other ways. However, another use of the currency will see it being used by merchants who will accept payments with it.

The company hopes that it is able to create a digital token whose value remains sufficiently stable to encourage its merchants to use it. With over 80 million small and medium businesses with a presence on Facebook, the company is hoping to entice a good percentage of these to switch to its digital currency in exchange of eliminating transaction fees and other perks.

The actions and implications of Project Libra should not be underestimated. With over 2 billion active users, the company can single-handedly become responsible for the mainstream adoption of cryptocurrency in everyday transactions. For comparison, it is estimated that the number of current crypto users runs in the two-digit millions. If executed correctly, the project could transform millions of crypto users into billions in a very short time indeed.

Facebook’s Elephant in the Room

Whilst Project Libra continues to make headway, the social media giant continues to face a series of scandals and complaints from its users. Facebook’s privacy policies have put many on alert, distrusting the platform, even though they continue to use it. This sentiment is shared by the crypto community, leaving Zuckerberg with an uphill struggle to regain the much-needed trust of this community for the success of the project.

Recently Similar News

Latest Guides

Latest News

Blockchain,Changelly,Cryptocurrency,Exchange Platforms

Changelly Adds Ardor, Ignis, and NXT to Changelly PRO

Changelly, the online cryptocurrency exchanges, has added three more tradable assets to their Changelly PRO platform. Changelly, the large online crypto exchange, has recently added an additional three cryptocurrencies to their Changelly PRO platform, Ardor, Ignis, and NXT. All three tokens developed by Jelurida will be tradable against BTC as ARDR/BTC, IGNIS/BTC, and NXT/BTC. Jelurida […]

6 November, 2020
Crypto Wallets,Exchange Platforms,Kraken,Ledger

Ledger Phishing Scam is Targeting Crypto Wallet Users

Ledger, the cryptocurrency wallet company, has been massively affected by a data breach and phishing scam. Ledger, the world renowned cryptocurrency hardware wallet producer, is facing a lot of problems with a data breach that is being used to target their customers. Kraken Intelligence, the intelligence arm of the Kraken cryptocurrency exchange, analyzes this data […]

5 November, 2020
Bitcoin,Blockchain,Cryptocurrency,Ethereum

Ethereum on Track to be First Blockchain To Process $1 Trillion In Yearly Transactions

Ethereum, the second largest cryptocurrency by market cap, is preparing to break the $1 trillion mark in yearly processing. Ethererum, the largest cryptocurrency behind Bitcoin, is on track to be the first blockchain to process over $1 trillion in transactions in a single year. Currently, the Ethereum network is processing more than double the amount […]

4 November, 2020
Binance,Blockchain,Cryptocurrency,Exchange Platforms

Binance is Giving Away $20,000 in Fifth Learn and Earn Series

Binance, the largest online cryptocurrency exchange, is hosting its fifth learn and earn series, this time with Orion Protocol. Binance, the worlds largest cryptocurrency exchange, will be hosting their 5th Learn and Earn campaign in collaboration with the Orion Protocol. In this campaign, Binance will be giving away $20,000 worth of ORN, the native cryptocurrency […]

3 November, 2020
Bitcoin,Blockchain,Cryptocurrency,Exchange Platforms

Bitcoin Monthly Prices Finishes at Second All-Time High

At the end of October, Bitcoin has registered its second highest closing price of all time. Bitcoin bulls continue to rejoice as Bitcoin closes at its second highest monthly price in the history of the digital currency. Bitcoin closed October with a price hovering right around $13,800, the second highest monthly price finish besides the […]

2 November, 2020
Cryptocurrency,Exchange Platforms

Cryptimi Announces Launch of Additional Platform for German Speaking Users

 At Cryptimi, we have announced the launch of our newest news platform in one of the largest languages globally, German. We are very pleased to announce the release of our world class Cryptimi platform in German! Now, all german speakers will be able to access all of the traditional media and features they would receive […]

27 October, 2020
Binance,Blockchain,CoinMarketCap,Cryptocurrency

CoinMarketCap Launches Latest Earn Campaign With Helium

CoinMarketCap, the largest online market cap aggregator, has launched their latest Learn and Earn campaign with Helium. CoinMarketCap has launched their latest iteration of their Learn and Earn program in partnership with Helium. Learn and Earn is a program launched by CoinMarketCap that allows cryptocurrency users to learn about new cryptocurrencies and earn some of […]

25 October, 2020
Binance,Bitcoin,Cryptocurrency,Exchange Platforms

You Can Now Spend BNB and BUSD With All Shopify Merchants

Shopify, the all-in-one online commerce website, now allows all of its merchants to accept Binance’s tokens BNB and BUSD via Alchemy Pay. Alchemy Pay, a worldwide cryptocurrency payment solution provider has worked with Binance and Shopify to integrate BNB and BUSD for payments to all Shopify merchants. Shopify is the worlds largest e-commerce platform with […]

23 October, 2020