Published: Sat, May 12, 2018
Finance | By Claude Patterson

Facebook To Compete With Ripple (XRP) On Cross Border Payment

Facebook To Compete With Ripple (XRP) On Cross Border Payment

We don't know too many details about the rumored currency, but Facebook has supposedly been looking into blockchain, the technology behind secure digital transactions, for the past year.

Yet in February, Marcus said Facebook didn't have any plans to integrate cryptocurrency into its apps anytime soon because "payments using crypto right now is just very expensive and super slow". Facebook does have a marketplace that is accessible from the mobile app so there's speculation that cryptocurrency could be used there but right now the objective of the new team is being kept a secret.

According to a new report from Cheddar, Facebook is exploring the possibility of launching its own cryptocurrency.

"This new small team will be exploring many different applications", the spokesperson said.

Cheddar, citing sources familiar with the matter, claims that Facebook users could use the new "digital token" to buy and sell through the platform.

According to one person, Facebook is "very serious about it", referring to developing its own cryptocurrency. Blockchain technology could also be used to help Facebook verify the identity of accounts and encrypt data. In 2009, the company released Facebook Credits, which could be used to purchase virtual goods in popular games like Farmville.

Marcus, head of Messenger will be succeeded Stan Chudnovsky that was serving as Messenger's product chief, Facebook said.

Facebook confirmed the co-founders exit and the company promised to give its comment behind the shakeup. After poaching Medium's corporate development expert Morgan Beller in mid-2017, Facebook tasked her with exploring opportunities in the blockchain space, having now constructed an entire team around that idea. The company moved the leader of its Messenger service, David Marcus, to the new blockchain unit that he will oversee. Weil is now the head of product at Instagram and he is quitting this job to join Facebook's blockchain division.

Marcus is no rookie when it comes to this field because before he was working for the company, he was the president of PayPal, and was an early investor in Bitcoin.

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