Facebook (NASDAQ: FB) unveiled its Libra cryptocurrency proposal in June to much fanfare and controversy.
Fascinatingly, an unconfirmed rumor claims Facebook employees working on the Libra Project, could be paid with cryptocurrency. Apart from the Facebook employees, the target markets for the Libra cryptocurrency are developing nations with volatile currencies.
There is also speculation that Libra could be used in Facebook Messenger, WhatsApp, Instagram, and other Facebook social media. Rumors claim Facebook could launch few physical payment terminals including automatic teller machines (ATMS). Merchants who are willing to accept Facebook cryptocurrency as the mode of payment could receive sign up bonuses.
This kind of move allows the Facebook to move towards the e-commerce industry. Facebook announced a few interesting new features at F8, a Facebook Developer Conference that ended on 1 May 2019.
Instragram users can buy Directly from Influencers
The features include allowing Instagram users to buy directly from the influencers. Allowing the businesses place their product catalogue over the WhatsApp, and providing the Facebook Marketplace sellers to ship their products through the Facebook app. This makes buying and selling easier within the continental US. Facebook has also announced in March a checkout feature for Instagram Users.
Unfortunately, news reports do not reveal any plans to integrate these features with Libra or any other cryptocurrency. Although, adding Libra payments to Instagram, WhatsApp, and Facebook Marketplace is a logical step.
However, users may not trust Facebook to be in charge of the new currency and it’s tacit acknowledgement. Therefore, the company is seeking partners for the independent Libra Association which will govern the new cryptocurrency.
Several large corporations including PayPal (NASDAQ: PYPL), Visa (NYSE: V), eBay (NASDAQ: EBAY), MasterCard (NYSE: MA), Spotify (NYSE: SPOT), Lyft (NYSE: LYFT), Uber (NASDAQ: UBER), Vodafone (NASDAQ: VOD), CoinBase, and Stripe are participating in Libra. However, Libra’s website lists no major banks as partners.
Libra could have a Big Value
If Facebook tries to push this token live, it could add big value to the users base in a larger scale than any of the existing cryptocurrencies. It is estimated that around 2.3 billion people used Facebook across the world in 1st Quarter 2019.
In order to make the Libra currency available to everyone, the Facebook is trying to get approval for the token’s use by working with the governments. It is also working on the fraud prevention measures such as more stringent forms for the identity verification.
The Libra project has been marked as the high priority for investment by Mark Zuckerberg, the CEO of Facebook. The company has also hired a team from a Blockchain startup company named Chainspace, but its CEO Dave Hrycyszyn later has departed from it. The company has also formed a new financial company named Libra Networks.
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