This may be the next big thing for Facebook. The massive social media giant is quietly building a cryptocurrency to power money transfers on WhatsApp, according to a new report from Bloomberg.
It was earlier in 2018, while the globe was focused on the widespread bitcoin and crypto hype, the Silicon Valley tech giant announced it was launching a blockchain group. The team working on this was helped by former PayPal and Facebook Messenger boss David Marcus, but they have since stayed silent about its goals, despite widespread speculation on what it might be up to.
According to Bloomberg, the company is trying to build a “stablecoin,” a specific type of cryptocurrency with a value is tied to the dollar It will be used to facilitate money transfers on the messaging app. At least initially, it will apparently target remittances in India.
And earlier this month, Cheddar, a business news outlet, reported that employees from Facebook had discussed with blockchain industry insiders “the idea of creating a decentralized digital currency for the social network’s 2 billion users.” They also reported that they are hiring for a range of roles, from project managers and academics. But apparently Facebook is struggling to hire talent, with crypto experts leary of the company because of its centralized nature and perceived scandals.
Travis Reed, a spokesperson for Facebook, provided Business Insider with the following statement: “Like many other companies Facebook is exploring ways to leverage the power of blockchain technology. This new small team is exploring many different applications. We don’t have anything further to share.”
Do you think that Facebook will be successful building this cryptocurrency to power money transfers? Will they be able to leverage the power of the blockchain industry? Share your thoughts with us on this issue. We look forward to seeing your comments in the section below this article.