In line with a recent news ‘published‘ by ‘Bloomberg’, Facebook is reportedly creating a cryptocurrency for users of the mobile messaging service WhatsApp, The token can supposedly be used for money transfers created within the application, and would target the remittances market in India.
Citing sources acquainted with the matter, Bloomberg ‘states‘ that Facebook is developing a stablecoin. The sources additionally expressed that the coin won’t release anytime before long, as Facebook is still engaged on a technique for the custody of the assets i.e. the asset to which the stablecoin will be tied.
The Indian remittances market is important. In line with the ‘data‘ from ‘The World Bank’, the country received nearly $69 Bln Dollar’s in foreign remittances in 2017, or 2.8 % of the country’s GDP.
WhatsApp enjoys widespread quality in India, with over two hundred million users within the country. the amount of users in rural India doubled last year as data and web prices declined.
Facebook’s stance on cryptocurrency has modified considerably over the last year. In January 2018, the social media network introduced a crypto ad ban, that it stated was designed to forestall “ads that promoted financial merchandise and services that are ofttimes related to misleading or deceptive promotional practices.”
Earlier in May, David Marcus, the head of Facebook’s messaging application messenger, declared the formation of a blockchain analysis team at Facebook. At the time, Marcus was conjointly a member at San Francisco-based crypto exchange and digital wallet service Coinbase.
Marcus then wrote “I’m fixing up a little group to explore a way to best leverage blockchain across Facebook, ranging from scratch.” Facebook repealed its blanket ban on crypto ads in late June, whereas ‘upholding‘ its ban on the promotion of ICOs [initial coin offerings].
Even in August, Marcus stepped down from Coinbase’s board so as to avoid a perceived conflict of interest. Explaining further he added:
“Because of the new group i am setting-up at Facebook around blockchain, I’ve decided it had been appropriate on my behalf to resign…”