Connect with us

Blogs

Facebook Is Getting Closer to Launching Its Own Cryptocurrency, but Why

Published

on

Facebook cryptocurrency
READ LATER - DOWNLOAD THIS POST AS PDF

The rumors of Facebook own cryptocurrency are nothing new in the vast world of cryptocurrencies. They have been around for over a year now, with some insider reports confirming them for months, now. However, recently, another wave of confirmation has emerged, and these ones are referring to the coin as GlobalCoin.

There was already a number of events that seem to confirm the coin’s existence even further, such as the Facebook CEO, Mark Zuckerberg, meeting with the US Treasury and contacting the Bank of England in order to seek regulatory guidance and confirmation. Something is definitely coming, but one question that many are still asking is: Why? Why is Facebook developing its own cryptocurrency?

Facebook’s GlobalCoin

According to reports from those who seem to be familiar with the matter, GlobalCoin is expected to arrive in Q1 2020. In other words, the social media giant is ready to enter the final phase of designing the coin and start conducting various tests.

Considering Facebook’s size and user base, the coin will truly be a global one, and while this is nothing special when it comes to cryptos — they are borderless, after all — this will be the first coin with such a massive exposure. It will also be pegged to a number of different fiat currencies, such as the EUR and USD, and likely half a dozen others.

With over two billion people using Facebook, and even more using its WhatsApp and Instagram, this coin will help connect these platforms further, and also make it easy for people to send money to one another through them. It will also be useful within the platforms, as various purchasable applications will accept it.

In other words, one of the reasons why Facebook is developing its new coin is its potential to help the ecosystem grow and evolve. It will also help Facebook establish its dominance even further.

Facebook’s history with cryptocurrencies

This may surprise some people, but this is not the first time Facebook has been trying to develop its own cryptocurrency. About a decade ago, the company was trying to create Facebook Credits, which would act in pretty much the same way. However, that was way too early for digital currencies to emerge, and it was not profitable at all. Nobody was interested, and Facebook eventually dropped the project.

Then, Bitcoin emerged, and while it required nearly a decade to go big, it eventually happened, as we all know by now. Facebook saw this as an opportunity to get back to the old project, but also change it and adapt it to the current crypto space. Interestingly enough, Facebook also introduced a major ban on everything crypto-related last year, which many saw as a strange move.

However, it was assumed that the platform does not believe in crypto and that it wants to protect its users from fake ICO ads and similar dangers. Then, rumors of Facebook Coin emerged, and people got even more confused, as Facebook was, apparently, against the idea of crypto. Eventually, the ban on crypto advertising got lifted, and the company is now edging towards launching its own coin.

Concerns and benefits

Of course, there are still concerns regarding the new crypto, as many assume that Facebook will use the system to start monitoring its users even more closely. It already has issues with how it treats customer data, and now it seems to want more — to gain insight into users’ payment habits. However, to do so, Facebook did not have to go crypto. It could have easily launched a PayPal-like service that would work with traditional currencies.

The decision to join the crypto space shows that Facebook does believe in cryptocurrencies and that it decided to be among its pioneers. Further, many businesses and even some banks announced their own stablecoins, but Facebook’s reach is far greater, and it stands reasonable chance to beat them simply by adding its own digital currency and collect all of their potential customers.

It should be noted that the privacy issues remain, and a lot of details regarding the coin are still unclear. But, the launch of a GlobalCoin is generally a good thing, as it will expose billions of people to cryptos. If it ends up being good — great. If not, those billions of people will easily find their way towards Bitcoin. In other words, no matter how good or bad GlobalCoin ends up being — the crypto space will benefit from it. And, who knows, maybe Facebook ends up being responsible for mass adoption. With that in mind, it is not surprising that many see this as the most important development in the history of modern finances.

For the latest cryptocurrency news, join our Telegram!

Disclaimer: This article should not be taken as, and is not intended to provide, investment advice. Global Coin Report and/or its affiliates, employees, writers, and subcontractors are cryptocurrency investors and from time to time may or may not have holdings in some of the coins or tokens they cover. Please conduct your own thorough research before investing in any cryptocurrency and read our full disclaimer.

Photo by Fancycrave.com from Pexels

Bitcoin

Investors Beware: Another Large Bitcoin Crash Might Be Coming

Published

on

Bitcoin crash
READ LATER - DOWNLOAD THIS POST AS PDF

The crypto prices have surged quite high in the last few months. Of course, their progress is nowhere near the one seen in 2017, but they appear to be getting there, one day at the time. However, things might not be as simple as that, and according to recent performance — it is more than possible that a major Bitcoin crash is incoming.

The fact is that cryptos saw a massive amount of growth in a very short period. Bitcoin itself more than doubled its price in only two months. Now, the rally is starting to crash in on itself, and the coin is already about $1,000 lower than last week. If such development does come to pass, a lot of people will experience quite large losses, although experienced investors might find some opportunities, and leverage in order to enhance their holdings’ long-term value.

For example, Bitcoin dominance is expected to crash very quickly, which will work in favor of quite a lot of altcoins. While this does not seem to be the best time to invest in BTC, altcoins are another story, and diversifying a portfolio now might end up being very profitable in days to come.

Bitcoin behavior mirrors the pre-bear market situation

The crash that analysts are predicting right now comes as a direct consequence of all the hype that has been building up in…

Continue Reading

Altcoins

Top 3 Coins to Buy Before They Go Big

Published

on

coins
READ LATER - DOWNLOAD THIS POST AS PDF

Crypto bulls are back, that much is clear. The long-lasting, harsh crypto winter is gone, and the new era in digital currency sector opens up some rather interesting opportunities. With many more bull runs expected to come in months ahead, a lot of coins are likely to blow up and maybe even hit new all-time highs, although that still remains purely theoretical.

On the other hand, the fact is that numerous coins are seeing prices that were not achieved since early 2018, and the overall momentum remains bullish. With that in mind, even if new records do not come for a very long time — chances are that many of the coins will blow up enough for investors to see some serious gains in months to come. As a result, investing in some of these coins now might be a very profitable decision, for those who have the patience to wait a few months. Here are some of the projects believed to have the greatest potential to go big in the second half of 2019 and beyond.

1. TRON (TRX)

Putting TRON on the list should not really surprise anyone, as the project constantly comes up with new project updates, partnerships, and alike. It also constantly breaks records, as is becoming one of the biggest players in the dApp and smart contract development sector.

In the past few…

Continue Reading

Blogs

Can Crypto Credit Cards Disrupt the Fight Against Financial Crime?

Published

on

crypto credit cards
READ LATER - DOWNLOAD THIS POST AS PDF

It is commonly known that the world of finances has the biggest problem with the crime of all existing industries around the world. It has been so throughout history. While the financial world has evolved, so did the criminal activities, and they continue to be an issue. With the arrival of cryptocurrencies, many were hoping that financial crime might be disrupted. However, for now, at least, it appears that cryptos themselves cannot find a way to resolve issues such as international money laundering.

In fact, when it comes to money laundering, the crypto sector appears to be the weakest link, especially because of the nature of digital currencies. The anonymity that cryptos are being praised for means that anyone can get a payment from an unknown source from anywhere in the world. This method can then be used for financing drug trafficking, cyberattacks, terrorists, and more.

Until recently, it was not easy for bad actors to make use of cryptocurrencies obtained for illegal purposes. The number of merchants willing to accept the coins was low, and criminals were forced to find a way to exchange crypto into fiat currencies. However, this came with a set of issues, such as taking foreign exchange risks and then sending the money through wallets and exchanges to a banking system that would allow withdrawal. The banking account was the biggest obstacle here,…

Continue Reading

Elite