Facebook Inc., is one of the top social networks which shows its interest in crypto and blockchain market. According to the latest report, Facebook is recruiting financial firms and online merchants to help it build cryptocurrency-based payment system.
Reports highlight that user with this payment system will be able to send digital coins and also they can make payments for purchase on Facebook as well as across the internet. Nevertheless, the social giant is reportedly raising about $1 billion which may possibly be raised from leading firms like Visa (NYSE: V), Mastercard (NYSE: MA) and First Data (NYSE: FDC). The payment service is dubbed as Project Libra and if the investment plans from these ventures go as structured, Facebook will possibly make crypto rolling in the larger landscape.
While encouraging the idea Facebook is bringing up, co-founder of Fundstrat Global, Thomas Lee compares its upcoming service with Bank and notes that ‘Facebook has a 100x opportunity. Lee on Twitter states that;
Nevertheless to note that Facebook’s project brings a digital token which will be pegged to the U.S.Dollar. This digital coins can also be used by its own messaging app, WhatsApp to send money to one another. Moreover, one can also earn the fraction of this token if the user looks at Facebook’s advertisement.
“Payments and commerce are Facebook’s only way out from its freemium, advertisement business model,” said Henry Liu, a former Facebook employee.
As soon as Facebook’s news hit the market, the total market cap rose higher – as such, Bitcoin sees an upsurge of 6.59% to trade at $5814 against US Dollar. Further, the positive effect can also be seen on other altcoins such as Ethereum, trading at $168.83 against the US dollar with influencing percent of 4.64. Nevertheless, XRP, Bitcoin Cash (BCH), Litecoin (LTC) and other altcoins are rising with 1.90%, 5.87%, 7.22% respectively.
Do you think big ventures help Facebook bring the digital coin to the social world.? Let us know in the comment below.
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Tabassum is a full-time content writer at Coingape. Her passion lies in writing and delivering apt information to users. Currently, she does not hold any form of cryptocurrencies. Follow her on Twitter at @Tabassumnaiz and reach out to her at Tabassum[at]coingape.com