Turbotodd

Ruminations on tech, the digital media, and some golf thrown in for good measure.

Coin of the Facebook Realm

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And you thought you had a bad week.

Actually, my week was pretty good, but there were some that weren’t so lucky.

Like Tumblr. 

Remember them?  No?

The all-things-blogging-and-sharing site that Yahoo paid a cool $1.1B for in 2013, and which was later subsumed into the Oath/Verizon Media Group.

And which is now for sell, and which brings with it some 400M blogs but which Yahoo wrote down by $230M in 2016 before the sell to Verizon.

Speaking of Verizon, Can you hear me now?  I’m leaving you, Verizon. I was going to go to Google Fi, but I had one of the worst customer service experiences *ever* with them the other day.

The whole point of Google Fi (and other MVNOs) is to limit my interaction with humans on the phone.

But due to a billing situation when trying to order my Google Fi sim card, I was forced to call Google’s customer support, which made any trek I’ve ever had to the State of Texas Department of Motor Vehicles outlet feel like an excursion to Six Flags.

Never again, Google.  Keep to the algos, you’re clearly worst in class with the call centers.

So, instead, I’m moving to Tracfone…Don’t call me unless it’s really, really necessary.

If you’re having trouble giving your money to someone, check this out: Facebook’s apparently moving in to the crypto payments world, big time.

According to a report from TheBlockCrypto, Facebook’s “Project Libra” puts Facebook’s stablecoin at the center of a brand new payments network.

Summary:

  1. Facebook is planning to launch a full payments network (rather than just remittances) and in discussions with payment networks Visa and Mastercard, payments processors such as giant First Data as well as large e-commerce merchants to support the launch.
  2. Facebook is seeking up to $1 billion in investments collectively from these firms in order to act as collateral to bolster and back a stablecoin that will be associated with the payments network.
  3. A stablecoin will exist as the currency of the payments system in order to eliminate credit card fees for . merchants as well as to avoid the volatility of other cryptocurrencies like bitcoin and ether.
  4. The company is considering tying the coin to Facebook’s core ads engine, rewarding users for viewing ads and then purchasing goods, similar to how loyalty points rewards work.

Why do I think this is potentially a very big deal?

Facebook conquered its first couple a billion people by linking identity and demography, putting faces (sorry) to names on the Interwebs.

Now they’re going to possibly enable all those people to start trading in transactions with one another using cryptocurrency, in (again, possible) partnership with major payment processors and networks (Visa, MC, First Data), and with large e-commerce merchants.

And, they’re going to tie all that with their advertising network, which could flip the switch on the Facebook value exchange, whereby users could be paid to watch ads, early loyalty awards with their purchases, etc.?

People, we’re already WAY behind China when it comes to using mobile apps for simple things like payments for, well, pretty much everything!

Someone has to take on this e-payment capability sometime, and the Apple Pays and Venmos of the world aren’t moving the needle.  You say you don’t trust Facebook? But might you trust them partnering with Visa, MC, and other vendors you already *do* trust?

The Facebook Coin, if it proves out, could be the biggest tech news of the year.

Now, show me the money.

Written by turbotodd

May 3, 2019 at 9:59 am

Posted in 2019, blockchain, facebook

Tagged with , ,

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