According to the report of BBC, Facebook is going to introduce its own cryptocurrency called GlobalCoin in 2020. The social media giant intends to begin testing the new payment system by the end of this year.
Reports on GlobalCoin
On Friday BBC
announced that Facebook plans to launch a cryptocurrency
-based payment system. This project is said to include a dozen or so countries. The new payment system is to be created by the first quarter of 2020
, and Facebook intends to start testing it by the end of this year. The new cryptocurrency will be called GlobalCoin
and will be based on fiat money which is accepted by the central bank and can be treated as a medium of exchange
Facebook looks for support
More details on Facebook's GlobalCoin will be revealed in the upcoming months. Facebook representatives held talks with US Treasury officials and the Governor of the Bank of England - Mark Carney
. They wanted to consult on the possibilities and regulatory issues for their initiative.
A few steps forward
Facebook also talks with payment companies, including Western Union
, in order to receive support and funding for the cryptocurrency. In the last month, it was reported that Facebook could try to raise as much as $1 billion to finance the coin. It is being said that GlobalCoin will help billions of Facebook users to transfer their money and make purchases online.
The project aiming to introduce Global Coin is internally referred to as the Libra Project
. On May 2, Facebook registered a new entity called Libra Networks
in Geneva, which will "provide financial and technological services and develop related equipment and software".