WSJ: Facebook Seeks Reported $1 Billion for FB Coin Amid Talks With Visa, MasterCard

Published at: May 3, 2019

Social media giant Facebook is seeking investments worth $1 billion for its rumored cryptocurrency stablecoin, the Wall Street Journal (WSJ) reported on May 3.

Citing people familiar with the plans, the publication revealed Facebook was currently talking to major payment networks Visa and MasterCard about potential support, along with payment processor First Data Corp.

The cryptocurrency project, dubbed “FB Coin,” has fuelled rumors for around a year that Facebook wants to provide in-house payments to users. As more information trickles down to the outside, it appears various options are under consideration by executives, including payments via a user’s Facebook profile.

“Facebook is also talking to e-commerce companies and apps about accepting the coin, and would seek smaller financial investments from those partners, one of the people said,” the WSJ added.

As Cointelegraph reported, interest in a fiat-centric FB Coin has already reportedly come from within cryptocurrency circles, specifically in the form of VC investment mogul Tim Draper.

Last month, plans surfaced that Draper, who is a well-known bitcoin (BTC) bull and supporter of altcoin Tezos (XTZ), would meet with Facebook to discuss investment options.

According to the WSJ sources, however, the huge fiat backing is further deliberately designed to remove perceived doubts about FB Coin versus bitcoin and other cryptocurrencies. Volatility, they said, should be avoided in order to boost uptake.

Tags
Altcoin
Stablecoin
Facebook
Mastercard
Visa
Related Posts
Report: Facebook’s Calibra Digital Wallet Will Not Be Available in Its Largest Markets
Facebook’s Calibra digital wallet will not be available in some of the social network’s largest markets, including India, according to a TechCrunch report on June 19. A spokesperson told the website: “The libra blockchain will be global, but it will be up to custodial wallet providers to determine where they will and will not operate. Calibra won’t be available in U.S.-sanctioned countries or countries that ban cryptocurrencies.” Estimates by Statista suggest there were 260 million Facebook users in India as of April this year — far ahead of the tech giant’s second-largest market, the United States. Earlier this month, Indian …
Blockchain / June 19, 2019
Got crypto? Here are 3 debit cards that let you spend your stack
As blockchain technology and the public's awareness of cryptocurrency continues to grow, a range of new use cases a coming to market and enhancing the efficacy of legacy financial systems. Despite its many applications, the original use case for Bitcoin (BTC) as a medium of exchange remains one of the most fundamental applications of blockchain technology and while BTC might not be the best asset to use for payments, there are service providers who have eased the process of settling transactions in other cryptocurrencies. For now, the most widely accepted way to use cryptocurrencies for direct payments in everyday life …
Blockchain / April 30, 2021
Visa, EBay, Stripe and Mastercard Abandon Facebook’s Libra Project
Visa, EBay, Stripe and Mastercard have all announced that they are dropping out of Facebook’s Libra Association and its associated stablecoin project. Four companies abandon ship On Oct. 11, Bloomberg reported that Ebay, Stripe and Mastercard had decided to drop out of Facebook’s Libra cryptocurrency project. Within minutes, Visa said it had also decided not to join the Libra Association, according to The Block. The news comes one week after payment processor PayPal announced its withdrawal from the Libra stablecoin project as regulators continue to scrutinize the project. The companies have expressed respect for Facebook’s vision and claim to see …
Altcoin / Oct. 11, 2019
Facebook’s Libra Backers Fear It Could Taint Their Image Among Regulators
Visa, Mastercard, PayPal and Stripe are reportedly unsure whether they wish to become paid-up participants in Facebook’s Libra digital currency. According to a Bloomberg article on Oct. 2 — citing “people familiar with the matter” — the four payment giants have reservations about the social network’s project. Sources: Facebook “oversold” regulator support The companies formed part of the cohort which originally said they wished to act as nodes for Libra, subject to a fee of $10 million. Libra has since faced a major backlash from regulators worldwide and the four now share concerns their own reputations could suffer. According to …
Altcoin / Oct. 2, 2019
WSJ: Facebook Crypto Project Seals $10M Investment Each From Visa, Mastercard, Paypal, Uber
Facebook has allegedly sealed backing from over a dozen firms that include Visa, Mastercard, PayPal and Uber for its soon-to-be-unveiled cryptocurrency project. The news was reported by the Wall Street Journal (WSJ) on June 13. Source ostensibly familiar with the matter told the WSJ that the firms — extending across the finance, e-commerce, venture capital and telecoms industries — have each invested around $10 million in a consortium that will govern Facebook’s forthcoming digital token, dubbed Libra. The WSJ’s sources reiterated details that had previously surfaced in regard to the highly secretive project, notably that the social media giant’s forthcoming …
Adoption / June 14, 2019