Social network Facebook is reportedly launching its own cryptocurrency by the first quarter of next year and it is expected that in a coming month or two Facebook will reveal more details about its much speculated crypto-currency, which is being referred to internally as ‘GlobalCoin’ ans also Stablecoin as per rumours, reported BBC.
Globalcoin, which is reportedly be available in about a dozen of countries at launch, will be tested out this year and for same Facebook has already spoken to Bank of England governor Mark Carney.
“Founder Mark Zuckerberg met Mr Carney last month to discuss the opportunities and risks involved in launching a crypto-currency,” said the BBC report.
Facebook has also sought advice on operational and regulatory issues from officials at the US Treasury.
The upcoming digital currency by Facebook is believed to offer people affordable and secure payments without the need for a bank account.
The social media giant is also in talks with money transfer companies including Western Union as it looks for cheaper and faster ways for people without a bank account to send and receive money.
Earlier this month, Facebook has registered a new firm in Geneva, Switzerland called ‘Libra Networks’, which will provide financial and technology services and develop related hardware and software. Libra Networks specialize in developing blockchain technology, the underlying tech of Bitcoin, and was registered on May 2 in Geneva.
According to an another report by Financial Times, Facebook has also been in talks with both the Coinbase and Gemini exchanges seeking to prepare third-party, regulated platforms for users of its coin to store and exchange the asset. It cites “two people familiar with the matter” as the source of the information.
Notably, Gemini is a firm founded by Mark Zuckerberg’s old legal combatants, Cameron and Tyler Winklevoss, but they also run a highly regulated exchange – a factor that will likely appeal to Facebook, since regulation will be one of its key hurdles with the new cryptocurrency, the FT points out.