Facebook Developing Cryptocurrency for Money Transfers on WhatsApp

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Sources say that Facebook is developing a stablecoin to be used for money transfers on its popular WhatsApp messaging app.


One thing that advocates of Bitcoin and other cryptocurrencies are looking for is greater adoption. Using crypto in everyday circumstances will finally shut the naysayers up and show that virtual currencies are definitely here to stay. Now it appears that one of the biggest social media giants may help push this adoption drive. Sources are saying that Facebook is developing a cryptocurrency to be used in its insanely popular WhatsApp messaging app.

Facebook Leading the Charge?

Just a few days ago, BitcoinerX reported that sources at Amazon and Facebook said both companies were developing native cryptocurrencies for their respective platforms. Details were extremely sparse, but now some new tidbits have surfaced concerning Facebook.

Facebook

There has been speculation that the company was going to make a move into cryptocurrency. Over the recent past, the firm has hired more than 40 people to be part of their blockchain group. This group is headed by David Marcus, who was brought over from PayPal back in 2014 to run Facebook’s Messenger app.

Insiders at the social media giant are saying that a cryptocurrency is being developed for use in WhatsApp. The crypto is actually going to be a stablecoin to minimize the volatility that’s too far a part of the cryptocurrency ecosystem. The sources say no timetable has been released yet as the company is still working on details, such as custody assets.

Crypto for WhatsApp

The stablecoin will be used for money transfers on WhatsApp. This program will first be launched in India as the app is incredibly popular there. WhatsApp boasts 200 million users in India, and this number is expected to grow.

India

As of now, India has 480 million internet users, and that tally will grow to 737 million by 2020. India is also a good choice for the pilot program as it is the number one country in the world when it comes to monetary remittances. The World Bank confirms that $69 billion was sent to India in 2017 from those living and working abroad.

Facebook is being tight-lipped about the situation. In a statement, the company said:

Like many other companies, Facebook is exploring ways to leverage the power of blockchain technology. This new small team is exploring many different applications. We don’t have anything further to share.

If Facebook is successful, this will be a huge boost to the cryptocurrency marketplace. Some other entities attempting to launch stablecoins for everyday use have fallen flat due to the coins being classified as a security. The social media company may have the clout to get around this issue, and there is a discussion on updating the antiquated rules covering securities in the United States.

Do you think Facebook will be successful in creating a stablecoin for money transfers in WhatsApp? Let us know in the comments below.


Images courtesy of Pixabay and Pexels.

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