Facebook Likely To Launch Its FB Coin Cryptocurrency in Q3, Sources Say
Social media giant Facebook is reportedly sourcing experts from payment platform PayPal in preparation for its cryptocurrency launch, as per a Bloomberg report.
Facebook has not publicly revealed any information about its ventures into blockchain and the payments industry, despite constant speculation and rumors for the last year.
And now, another report has emerged that the social networking firm could be rolling out its native crypto token by the third quarter of this year.
David Marcus, PayPal’s former president is the leader of the team behind Facebook’s blockchain team, which the California-based company began assembling in 2018.
Facebook’s team has grown to about 50 members and with 20 percent sourced from the payments platform. Now, just like it happened in the early 2000s, Facebook’s blockchain team is bringing back memories of PayPal’s executive group that was back then christened the “PayPal Mafia.”
The “Mafia” team is famous for their role in the development of the nascent electronic payments firm’s technology. It was made up of such big names as Tesla CEO Elon Musk, and blockchain-friendly talents like Peter Thiel and Reid Hoffman.
All are prominent entrepreneurs at the moment, with tech companies like Tesla and LinkedIn part of their initiatives.
For its crypto project that has remained under wraps for too long, Facebook is reportedly looking to release it to the public as a stablecoin, under the FB Coin tag.
New reports out last week revealed that the social media giant is eyeing up to $1 billion in investments from external sources and has in the meantime got in touch with top payment networks Visa and MasterCard with regard to the FB coin project.
Sources also intimated that Facebook had acquired the rights to use the “Libra” trademark for its new token.
The firm’s stablecoin will be pegged to the U.S. dollar, although there are suggestions that Facebook could back the token by securing it against currencies like the euro, the pound, and yen among other major currencies.
Earlier suggestions have said that the new crypto token from Facebook will allow users to transfer money across WhatsApp, a popular messaging platform that Zuckerberg’s company acquired in 2014.
As noted above, Facebook is yet to comment on these developments.
Meanwhile, the platform has relaxed its ban on crypto and ICO ads by allowing individuals and companies to advertise on crypto-related items that tough on crypto education, blockchain technology, and industry news.
However, the ban on specific ads for cryptocurrencies, exchanges, and ICOs remain.
Disclaimer: This is not investment advice. Cryptocurrencies are highly volatile assets and are very risky investments. Do your research and consult an investment professional before investing. Never invest more than you can afford to lose. Never borrow money to invest in cryptocurrencies.