BTC Wires

Facebook Looking For Partners To Back Its Crypto Payments System

Facebook, the social media giant is looking for partners to back its aspirational crypto payment system which might be integrated into the messenger along with a fiat backed stable coin that will be used on the payment system. According to the reports published by the Wall Street Journal, Facebook is looking for a $1 billion in funding to back its stable coin project.

Last month a New York Times contributor Nathaniel Popper tweeted that Mark Zuckerberg is in talks with VC companies in search of funding Facebook’s crypto project. His tweet read,

Update on Facebook’s cryptocurrency: Sources tell me that Facebook is now looking to get VC firms to invest in the Facebook cryptocurrency project we reported on earlier this year. I hear they are targeting big sums — as much as $1b.— Nathaniel Popper (@nathanielpopper) April 8, 2019.

Now the Wall Street Journal has confirmed those reports and even said that the new crypto project would be dubbed as the Project Libra. According to the reports, some of the prominent names in the contention for funding the Project Libra include MasterCard and Visa.

How Facebook Plans To Utilize the Stablecoin Token

If reports are to be believed, Facebook is not just looking for investors to back its stable coin but also looking for merchant partners to help them expand their services beyond the remittance use on WhatsApp. Facebook is looking to build a token which can be used to buy goods online as well. One way to do that would be by eliminating the transaction fee for its partner merchants.

As per the data published by Blockchain Capital, the total number of crypto users in the world is around 100 million, while Facebook boasts of well over a billion users if Facebook is able to execute its stable coin and crypto payment system well, it would give a huge boost to the number of users interacting with crypto at this point.

The WSJ report also suggests that Facebook would reward its users with a fraction of the stable coin for watching ads and providing content for the same, which is a similar approach to that of Brave network and what it is doing with its BAT token.