Report: Facebook Plans to Launch Cryptocurrency-Backed Global Payment System in 2020

[ChainDD report] May 25 (ChainDD) Facebook plans to establish a digital payment system across a dozen of countries by the first quarter of 2020 and wishes to initiate the test for its cryptocurrency by the end of this year, according to a BBC report.

The report said Facebook expects the cryptocurrency, internally called GlobalCoin, to provide affordable and secure payments and will offer more details of its plan this summer. The social media giant is negotiating with the West Union and other money transmitter to find ways to make money transfer and reception easier and faster for users without bank accounts.

The report revealed that Facebook founder and CEO Mark Zuckerberg last month met with Mark Carney, the governor of the Bank of England, to discuss opportunities and risks about launching this cryptocurrency. Facebook also sought suggestions from official of the US Department of Treasury on operations and regulations.

ChainDD’s previous news said sources of the New York Times revealed at the end of February, 2019 that Facebook plans to launch its own cryptocurrency Facebook Coin that enables its users to send money to their friends and family in real time. Facebook wants to connect WhatsApp and other two applications under its control, so the coin could serve 2.7 billion users.

Earlier this month, The Wall Street Journal’s sources said Facebook is seeking to invest $1 billion to recruit dozens of financial institutions and online merchants including Visa Inc. to help its huge social network launch a cryptocurrency-based payments system. On May 8, the Bloomberg sources said Facebook is is developing a stablecoin pegged with US dollar or a basket of currencies that may eventually enable users transfer money for remittance. The first country that will test such stablecoin is India.

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