Facebook Is Planning a Crypto Application

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The founder of Morgan Creek Digital and creator of the popular “Off The Chain” crypto podcasts, Anthony “Pomp” Pompliano, has stated that Facebook will someday build the “most used product in the crypto world”. Facebook recently announced job openings for software developers specializing in blockchain technology. Although the intention of Facebook is unknown at this time, speculation has already begun.

Mike Dudas, founder of “The Block” — a global community of crypto and blockchain fans — tweeted the news about blockchain developers’ hiring on Facebook, saying the site has no value other than prestige for no particular purpose, Pompliano responded to this tweet and said that he bets that Facebook will develop the “most used product of the crypto world”.

Facebook has been reluctant to blockchain in public yet, but Facebook’s career page reveals great ambitions. The ultimate goal is to help billions of people do things they can not access now, using blockchain technology. And they are now hiring marketing talent to prepare the market.

A Little Riot

Crypto enthusiasts around the world have joined the thread and shared their views on the controversial topic after Pompliano responded to Dudas’ tweet. Pompliano acknowledged that he does not know “when” and “what” Facebook will develop. He supports his statement with the words:

They have more than 1 billion users and more products than any other company, I believe. They have outperformed everyone in the past. If anyone can do that, it’s Facebook.

Dudas was not convinced. He says that Pompliano is simply wrong on this matter and further emphasizes that this will be his worst prediction so far.

Pompliano then explained the reason for the success of Facebook and stressed that the company has an extraordinary team of people who are in the development, launch, and scaling of their products:

Bets against David Marcus, Kevin Weil, Morgan Beller, Zuck, Chris Cox and Facebook’s growth team are crazy. I always rely on this crew when it comes to developing, introducing and scaling products. Ask the competitors what happened last time.

Enthusiasts took part in the debate, speculating on the way Facebook entered the emerging crypto world. Ideas included a Facebook identity system, personal information, a stable coin from Facebook, etc. No one knows exactly what Facebook plans to do with the new developers for its blockchain development team.

Facebook’s Cryptocurrency Project

Facebook began exploring blockchain in mid-2016. At the time, Facebook had reportedly commissioned a single company development employee to investigate blockchain technology. It was rumored that Facebook was already working on a cryptocurrency project on the Stellar network in April. However, Facebook has denied the rumors and has remained very close to the operation of its blockchain section. A report by an unnamed Facebook blockchain insider indicates that the company is pursuing a long-term strategy that most likely resembles its investment in AI:

Rather than relying on a specific industry, such as payments, Facebook’s blockchain idea will provide a foundation on which the company will be able to take advantage of a number of potential opportunities.

It is clear that the mysterious team is working on something in the background, although there is no official confirmation from Facebook. David Marcus, head of Facebook’s blockchain division and former president of PayPal, has recently stepped down from his post on the Coinbase board because of a conflict of interest in his work in both companies. He told TechCrunch that he’s leaving Coinbase,

because of the new department that I found around blockchain on Facebook. It has been a great privilege to Brian [Armstrong, CEO of Coinbase], who has become a friend, and get to know the entire Coinbase leadership team and board. I was very impressed by the talent and performance that the team has demonstrated during my tenure, and I wish the team every success in their continued work.

CNBC had previously reported that Facebook

Robinhood observes — an investment app that targets young audiences and has recently launched a crypto trading platform. The Wall Street Journal reported in March that Robinhood’s growing popularity among millennials has attracted venture capitalists willing to value the company at $5.6 billion.

The enormous size gives Facebook a huge advantage. AngelList founder Naval Ravikant postulated that Facebook could take an extreme version of the popular “Airdrop” model as a road to acceptance. This recent development is increasingly fueling the speculation that Facebook is working on a kind of cryptocurrency project.

Author: Marko Vidrih @cryptomarks

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