Every week brings to light more details regarding Facebook’s secret cryptocurrency project.
In a report today, May 24, BBC noted that the new cryptocurrency planned by the social media giant is dubbed “GlobalCoin.”
GlobalCoin is set to debut in the first quarter of 2020 with Facebook’s CEO Mark Zuckerberg recently holding talks with Bank of England’s Governor, Mark Carney regarding the risks and opportunities that the cryptocurrency would bring.
That meeting adds up with earlier reports that Facebook is looking to raise $1 billion for the project and is also seeking partnership with major credit card companies such as Mastercard and Visa.
But far from the efforts to bring Facebook’s new cryptocurrency to the market, it would interest you to know that this is not the firm’s first shot at launching an in-app currency for its users.
In fact, Mark Zuckerberg and co. would have to thank the crypto revolution for giving them another shot to try out a system that failed to take off when it was first introduced nearly a decade ago.
GlobalCoin May Be the Ultimate Replacement for Facebook Credits
If you started using Facebook after 2012, then there’s a little chance that you know about Facebook Credits, an in-app currency that the company initially marketed as a “safe and secure way” to make online payments.
Users could purchase Facebook Credits using credit cards or PayPal and spend them in-app to play games offered by Facebook’s third-party developers. However, an issue with converting this in-app currency to other virtual currencies created by the developers forced the company to scrap the service.
When Facebook Credits was removed, Ian Maude, head of internet at Enders Analysis, told the BBC what problem Facebook had with the in-app currency.
“The problem with Facebook Credits was that it was pretty restrictive. Doing this [ending the service] takes the headache away from Facebook of having to force people to use its system”.
Welcome back from the past. We’re in 2019.
An estimated 30 million people use cryptocurrencies globally. 2.4 billion people use Facebook, and now, the firm has another shot at relaunching its in-app currency with higher chances of getting it right.
Yes. Facebook has the luxury of reviewing the thousands of cryptocurrencies launched within the last decade to know what features its GlobalCoin would need to scale fast. So it is a case of being fortunate at the second attempt, and Facebook has the crypto revolution to thank for the opportunity.