All news

Facebook Reportedly Negotiating with Coinbase and Gemini to Launch ”Globalcoin”

A new report suggests that Facebook is currently discussing launch its own cryptocurrency with high-profile US-based cryptocurrency exchanges. For example, Facebook is said to have held talks with Coinbase and Gemini regarding the release of its Facebook cryptocurrency ”Globalcoin” project.

New details regarding Facebook’s ”Globalcoin” cryptocurrency

This news comes in a fresh report by the Financial Times. The Financial Times writes that Facebook is purportedly reaching out to major cryptocurrency actors in preparation for the launch of Facebook’s own cryptocurrency

Specifically, Facebook is said to have reached out to the cryptocurrency exchange and wallet firm Coinbase, one of the major actors in the cryptocurrency space. What’s more, Facebook is also said to have held talks with the Gemini cryptocurrency exchange.

Ledger Nano S - The secure hardware wallet

This is especially notable seeing as Gemini was founded by the Winklevoss twins. Before Gemini, the Winklevoss twins were arguably most well-known for being the arch-rivals of Facebook’s CEO, Mark Zuckerberg, after accusing him of stealing their idea for Facebook.

Furthermore, anonymous sources are sharing that Facebook is currently negotiating with major cryptocurrency-related enterprises. This is supposedly meant to ensure that Facebook’s cryptocurrency, a stablecoin that has been rumored for months, can be pegged to the US dollar and be highly secure, tradable and liquid.

Facebook is reportedly discussing its upcoming cryptocurrency with major firms

In addition to Gemini and Coinbase, Facebook is also said to have reached out to the Chicago-based high-frequency trading firms DRW and Jump. Adding fuel to the fire, all of the mentioned parties have declined to comment on the Financial Times report.

As such, it seems even more likely that there may be some truth to these rumors. Additionally, the BBC also recently commented on the plans for a Facebook cryptocurrency. Moreover, the BBC noted that Facebook’s upcoming cryptocurrency offering will be geared towards payments.

In addition to this, Facebook’s ”Globalcoin” will supposedly be both bigger and ”more open” than a mere Facebook payment method. What’s more, Facebook is also said to be planning extensive integration with WhatsApp, Instagram and Messenger.

Consequently, Facebook’s Globalcoin could reach a truly massive audience. The Financial Times report also highlights the fact that Facebook’s largest obstacle will likely be regulations. 

Nevertheless, a company of Facebook’s size could have significant sway when it comes to influencing regulations. Facebook also recently registered a new financial tech company, Libra Networks LLC, in Switzerland – which is widely believed to be a vehicle for some type of cryptocurrency.