Facebook to Develop its Own Stablecoin for Remittances: Report

Social media giant Facebook is reportedly working to launch its own stablecoin for money transfers through its popular messaging app WhatsApp.

AccessTimeIconDec 21, 2018 at 7:30 a.m. UTC
Updated Sep 13, 2021 at 8:42 a.m. UTC
10 Years of Decentralizing the Future
May 29-31, 2024 - Austin, TexasThe biggest and most established global hub for everything crypto, blockchain and Web3.Register Now

Social media giant Facebook is reportedly looking to develop its own stablecoin for money transfers.

Citing anonymous sources familiar with the plan, a Bloomberg report on Friday said the company will first focus on the Indian market to let users transfer money via a fiat-pegged cryptocurrency on WhatsApp, the messaging app Facebook acquired in 2014.

However, the report added the actual launch of the stablecoin could still be a way off, since the initiative is at a strategic planning stage. Currently, WhatsApp has over 200 million monthly active users in India.

India is also one of the largest markets for remittances, with migrants sending $69.59 billion back home in 2017 alone, according to the latest annual report from the World Bank.

Facebook set up its blockchain team in May, aiming to explore the emerging technology. It posted five job openings earlier this month, looking to add more members to its blockchain team with expertise on data science, software engineering and marketing.

David Marcus, who previously served as a vice president for Facebook's Messenger app division, heads blockchain team. In June, the firm appointed appointed Evan Cheng, a senior engineer, as its first blockchain engineering director.

"If Facebook launches the stablecoin they are reportedly building, it will quickly become the most used product in crypto," tweeted Anthony Pompliano, a crypto analyst and founder and partner at Morgan Creek Digital Assets, adding: "The Indian government has been fighting crypto too so things are about to get very, very interesting."

Meanwhile, other global messaging applications, such as Kakao, LINE and Telegram, have already revealed plans to move into the blockchain space.

In August, Japan's LINE became one of the first publicly traded companies to have launched its own blockchain mainnet with a cryptocurrency called the LINK token.

Correction: This article previously stated that the reported Facebook token would be dollar-pegged. There is no indication of the stablecoin's peg so far. This error has now been corrected. 

1 Hacker Way sign image via Shutterstock


Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

CoinDesk is an award-winning media outlet that covers the cryptocurrency industry. Its journalists abide by a strict set of editorial policies. In November 2023, CoinDesk was acquired by the Bullish group, owner of Bullish, a regulated, digital assets exchange. The Bullish group is majority-owned by Block.one; both companies have interests in a variety of blockchain and digital asset businesses and significant holdings of digital assets, including bitcoin. CoinDesk operates as an independent subsidiary with an editorial committee to protect journalistic independence. CoinDesk employees, including journalists, may receive options in the Bullish group as part of their compensation.

Learn more about Consensus 2024, CoinDesk's longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to consensus.coindesk.com to register and buy your pass now.