Facebook’s Cryptocurrency Promises to Ease In-App Purchases
The rumors are true. Facebook will soon launch Libra, it's first ever payment alternative on all Facebook-owned apps. This news was already doing the rounds ever since Facebook took the crypto road last year. As a part of the experimental blockchain project, Facebook hired David Marcus, the former executive of PayPal, to make sure this was a successful endeavor. What started as an experiment is now a potentially $1 billion stablecoin offering spread across all online Facebook apps.
What to expect
With more than 2 billion users, Facebook will have a massive base when they start their crypto journey. Since they are using stablecoins, their currency will be tied with other traditional currencies, thus giving it a chance to stay away from the swinging volatility of the crypto market. Experts believe that this will give Facebook an edge because the users won’t have to experience the ups and downs in prices that the industry has seen from 2009.
Users will also have the advantage of using crypto software applications like Bitcoin Compass System to identify the rate of the currency. They can postpone payment or purchase if they find there is a high price of the coins. Apart from the latest currency peg, Facebook’s new crypto will have the support of large investors. Facebook has invited many of these investors to participate in this venture. Each of the participating members will pay token money of $10 million if they want to be a part of this project. Investors believe that this will be a new challenge that will pay off because there has not been any collaboration between cryptocurrency and social media before.
There are already 30 members who have become a part of this massive project, and with so many interested parties willing to join, Facebook will look to expand the membership program to at least 100 which will take this initiative to $1 billion.
What next for the investors
Investors are highly interested in this project, and they think it has the potential to become one of the most significant crypto contributors in the next few years. The participants have already leaned towards payment processors and venture capital firms. eBay, PayPal, Mastercard, Visa, etc. are some of the well-known names who will be a part of this group.
Libra will be made available for both currency transfers and payments via Facebook-owned social media apps such as Instagram, WhatsApp, and Messenger. However, users will not have to download and install any software application to enjoy this service. Updating their current version of the app will be enough to start using Libra.
The launch will take place very soon, and that will allow crypto experts, developers, and investors to understand what the coin will have in store for the users. Many already think that there will be several regulations because of the latest news about data privacy violations. So, it will be interesting to see how Facebook manages data security because the bank accounts of billions will be at stake once they start using the cryptocurrency.