Facebook’s Cryptocurrency: A Friendly Bet and Immunization from Privacy Laws

A centralized entity launching a cryptocurrency was a far-reaching dream only a couple of years ago with the crypto-space being usually criticized. Nevertheless, the believers in Bitcoin and the underlying technology had already placed huge bets in the area.

Entrepreneurs and Venture Capitalist went out of their way to help in the growth of the space. The Winklevoss twins, blockchain and cryptocurrency developers, angel investors risked significant capital in the area.

Yoni Assia, the Founder, and CEO of eToro recently tweeted about a repartee bet, as we would like to call it, about the future of cryptocurrencies. Reportedly, the argument was held with Nicola Mendelsohn, the VP of  Europe, the Middle East, and Africa (EMEA) at Facebook. He tweeted,

I made a bet with Facebook executives 3 years ago that they are going to launch a coin, they were laughing back then… $FB coin is going to make #Crypto mass market

He tagged Mendelsohn in the tweet. Moreover, now that a launch is due, the conversation holds a lot of importance because of its implications and effects in the market.

Facebook’s Cryptocurrency is More Than Just a Payment System

According to Meltem Demirors, Research Analyst at Coinshares, Facebook’s cryptocurrency launch might be a calculated move to enrich the ‘data set’ at Facebook.

Facebook is currently facing a lot of criticism and pressure from the Governments due to the flaws in the privacy maintenance of user-data on Facebook. The US Government is expected to enact a new ‘privacy law’ in the States. Hence, the decentralization of data on the payment network would infuse confidence in the system as well. She said,

“…this is less about payments and more about privacy and data gathering 🕵🏽‍♀️ SURVEILLANCE CAPITALISM Y’ALL this is about collecting a big ol’ pooper 💩 scooper full of data – Facebook’s only business model is selling data / ads… a decentralized network with 100 initial “participants” will allow facebook to claim the network is not under its control.”

Also Read: Facebook Cryptocurrency: Visa, Mastercard, PayPal, Uber Among Top Members of Consortium, Report

Reportedly, while the Whitepaper is expected to be announced soon on 18th June, the cryptocurrency will become fully functional by 2020.

Demirors also reiterated that Globalcoin/Libra would have a positive impact on the cryptocurrency markets and Bitcoin as it would “introduce 2.5 billion users to cryptocurrencies.”

Do you think that Facebook payment system will outperform SWIFT? Please share your views with us. 

The post Facebook’s Cryptocurrency: A Friendly Bet and Immunization from Privacy Laws appeared first on Coingape.