Have you heard about Facebook native cryptocurrency, GlobalCoin? Here is everything that you need to know about it.
Studies show that Facebook has more than one billion users globally. This statistics makes it the largest social media platform in the world. Its entry into the cryptocurrency industry will definitely have a major impact. For the last one year, there has been rumour that the company is planning to launch its own native cryptocurrency dubbed, GlobalCoin.
What is Facebook GlobalCoin All About?
Following numerous speculations about Facebook GlobalCoin, the company has given in to the pressure of announcing when the native cryptocurrency will be launched. The team working on this project has confirmed that the GlobalCoin will be launched in the first quarter of 2020.
Unlike popular belief that the cryptocurrency will be similar to Bitcoin, we can now confidently report that GlobalCoin is designed to enable users make transactions as well as store value directly on Facebook network. The value of this digital currency will also be pegged on several major fiat currencies that are stable and used globally such as the US dollar.
Our in-depth analysis of the latest report from the team indicates that the social media network is taking more inspiration form PayPal, an online payment-processing platform, than Bitcoin.
Facebook GlobalCoin to Hit the Market in 2020
One of the main highlights that set GlobalCoin apart from other rival cryptocurrencies is that it will be powered by its own blockchain network. There are reports that Facebook has hired two expert compliance officers who are currently working with Coinbase to facilitate a smooth launch and adoption.
Facebook is also working with a number of conventional financial institutions to ensure proper fiat backing when the native cryptocurrency is launched. Unlike other blockchain projects that seem to alienate themselves from the traditional banking system, GlobalCoin project strikes a formidable balance between major banks in the world and big tech on a robust private blockchain network.
This association with banks makes it lose the decentralized vision that most cryptocurrencies hold so dearly. The decision to make the cryptocurrency centralized and pegged on fiat currencies will fuel its adoption. Investors who are concerned about volatility of other decentralized currencies will definitely invest in this currency, as its value will be based on the value of the fiat currencies.
As mentioned earlier, Facebook GlobalCoin will make it possible for users to send payments. The entry of this giant social media network in the online payment processing industry will have major positive ramifications on global e-commerce industry as well as consumer patterns. It will also be an alternative revenue stream for Facebook.
What is your take on Facebook GlobalCoin and the objectives of the project? This will definitely be a game changer in the industry and we expect to see more tech companies follow suit. Read more about this and other trending cryptocurrency news here such as bitcoin price surge and how to read bitcoin price chart accurately.