Getting people on board to support Libra has not been an easy task for Mark Zuckerberg, CEO of Facebook. Regulators in the U.S. and Europe have made this task even harder by blocking the project in the only way they know how, pressuring other companies in the finance and e-commerce sector who had already expressed their willingness to work with Facebook, in an attempt to either make them drop their support towards Libra or face the consequences. This has caused for Facebook to lose the support of Visa, PayPal, eBay and others in a matter of weeks.
While the Libra Coin faces backlashes everywhere, and incredible scrutiny from regulators globally, the social media giant is still betting on provided online payment solutions across their multiple platforms. The company has announced the launching of a new fiat payment system called Facebook Pay will which only use fiat currencies.
Facebook Pay aims to provide people with a convenient, secure and consistent payment experience across Facebook, Messenger, Instagram and WhatsApp; making transactions easier while continuing to ensure that the payment information is secure and protected.
According to Deborah Liu, VP, marketplace & commerce at Facebook:
People already use payments across our apps to shop, donate to causes and send money to each other. Facebook Pay will make these transactions easier while continuing to ensure your payment information is secure and protected.
The payment solution provided by Facebook will work on existing financial infrastructures through the establishment of partnerships with financial entities and service providers all around the globe. The company seems to be distancing itself from Libra, reassuring users that Facebook Pay is nothing like the Libra Network.
Furthermore, the company claims the new payment service will begin rolling out this week on Messenger and Facebook in the United States only, allowing people to collect money for fundraisers, make in-game purchases, purchase event tickets, and person-to-person payments on Messenger and purchase items from selected pages and businesses on Facebook Marketplace.
The company hopes this new service will help businesses grow and empower people everywhere to buy and sell things online.
Unfortunately for the Libra Coin, every major payment processor has left the Libra Association (PayPal, Visa, Mastercard, Stripe, eBay, Mercado Pago and Booking). The future of Libra is uncertain, and it currently lays in the hands of regulators to determine whether or not Facebook could roll out its stablecoin next year as planned.