Facebook is one of the leading social platforms around the globe. With a whopping 2.23 Billion active users per month this platform has a vast user base. At the end of 2017, Facebook closed the year with a net income of $15.9 Billion. It’s for this global supremacy that the firm has decided to get into blockchain technology and is considering crypto as a good start.
Even though it sounds exciting but scary because of the ability of the giant software to rule the industry as it does with social media. The firm has shown signs of coming back to the crypto world after it eased up on the crypto ad ban.
So what could Facebook build to overpower what already is in the market?
At the beginning of 2018, Facebook banned all cryptocurrency ads including Bitcoin. It took this step in an attempt to prevent people from advertising what the firm referred to as financial products and services promoting misleading or deceptive practices.
This meant advertisers, however, if they are legit, couldn’t promote Bitcoin and other cryptocurrencies. However, in a turn of events, David Marcus, who leads Facebook’s crypto team has stepped down from the board at coinbase.
One of the unique projects Facebook is likely to initiate is coming up with a digital asset. The asset will be used on the Facebook platform and Messenger. This initiative will be essential and ideal for micro-payments such as sending remittances across the border and also tipping. Tipping will be an addition to liking comments on Facebook. Still, one username will serve as opposed to the multiple crypto addresses.
At the time when the firm banned crypto ads, it stated that many of the companies weren’t operating in good faith. In the revised policy, the company has said it will improve the security and integrity of the ads. As a result, scammers will not have an opportunity to thrive. These policies will be revised over time to strengthen the ability to protect deceptive ads improved.
What about their crypto exchange?
Cryptocurrency business is tormenting Facebook. This is after Binance expecting to make $1 Billion in profits after a year of operation in crypto business. One way for this firm to achieve this is to start from scratch as Binance did with ICOs. Another way is through acquiring Coinbase. Keep in mind, Marcus can break the deal using his influence because he was one of the board members.
The acquisition is probable because, with an ICO, it has security issues in the United States. Chances are, they won’t take the ICO path.
With all these developments and changes, Twitter and Snap haven’t been left behind, having also enacted policies around crypto ads. Twitter will only display ads for exchanges and wallets provided by public traded companies. Snap on the other hand, will allow crypto ads but ban ICO ads.
The crypto environment is rocked with scandals. It’s imperative that significant platforms lay down rules of what they allow. In the first two months of 2018 according to the FTC, consumers lost $532 million to cryptocurrency-related scams. Besides, an official from the agency has warned that subscribers will lose more than $3 billion by the end of the year.
But all this is speculation
At the moment, we have to wait and see what the team is working on. Rumors have it that Facebook has been having talks with the Stellar Foundation.
Whether these rumors are true or not, it’s a matter of time before we can substantiate them. But with the popularity and power that Facebook has, it will lift the ban on approved advertisers.