Facebook to launch cryptocurrency this month

Share

In terms of what is known about Facebook's Libra, TechCrunch notes that the cryptocurrency is expected to be pegged to a set of currencies instead of a single one, such as the USA dollar. The token will mainly be used in Facebook's products - WhatsApp, Messenger and so on - but the company is also planning ATM-like physical terminals. Laura McCracken, Facebook's Head of Financial Services & Payment Partnerships gives away with the release date of the whitepaper that would be on June 18, 2019, and digital currency will be going live about the same time.

According to the report, Facebook is in talks with companies to lure them to pay $10m to operate an intersection that can affirm the transactions made with the cryptocurrency, in exchange for a seat at the governing table of the token.

The move aligns with Facebook's push into e-commerce.

While sources previously suggested that the Facebook cryptocurrency was expected to launch in 2020, The Information reported Wednesday that it could hit the digital market this month.

Also, in order to raise $1 billion, Facebook is allegedly been talking to major payment networks Visa and MasterCard that reportedly involves a stablecoin along with a crypto-powered online payments system. Concerns of this nature will be addressed by a foundation that is being set up by Facebook that it ought to govern the digital currency.

Facebook has been working with governments to get approval for the coin and it will intensify efforts on fraud prevention, which means you can expect "more stringent forms of identity verification". And in February, Facebook hired a team from Chainspace, a blockchain startup - though the CEO of Chainspace, Dave Hrycyszyn, departed after about a month, The Information's report said.

Not everyone at Facebook is as excited for its cryptocurrency venture as Zuckerberg. For example, Facebook could misuse information about its users of buying habits in order to offer better targeted adverts to attract further investment from firms.

Share