Facebook, Twitter and Telegram: A New Crypto Paradigm or a Glorified Voucher Program?
Facebook and Telegram’s launch of coins will be more of a game changer for social media and banking than for crypto.
Facebook is controversial, if nothing else. The world's fifth-biggest company by market cap, it's also the biggest social network by a comfortable margin. Yet, despite the fact that most of us use it, we've become increasingly suspicious of what it's been doing with our personal data. Ever since the Cambridge Analytica scandal (and probably long before), we've feared that such data isn't particularly secure or private, so we've been pushing back against the social media giant, as witnessed with last year’s #DeleteFacebook campaign.
But at the same time, those with an interest in cryptocurrency also have an appreciation that, for crypto to enter the mainstream, it will need the backing of a big corporation or two. This is why recent news of Facebook's apparent plans for its own cryptocurrency is something of a bittersweet pill to swallow. There's little doubt that the promotion of a digital currency by one of the world's largest companies will put crypto firmly on the map. Yet, given Facebook's reputation, it's hard to shake the suspicion that what Mark Zuckerberg and Co. end up offering won't be a cryptocurrency in the proper, decentralized sense of the word.
Still, even if Facebook and other social networks won't be producing the next Bitcoin or Monero, their dalliances with blockchain could be a game changer not only for crypto, but for other industries. Finance could be irrevocably altered, as banks and other financial institutions race to accommodate the use of digital currencies by social networks. Similarly, a new ecosystem of crypto-related services and platforms could emerge, as they attempt to capitalize on the creation of new digital money by the likes of Facebook.
Facebook, Twitter and Telegram
Rumors that Facebook is planning its own cryptocurrency have been circulating since at least last May, when anonymous inside sources told media website Cheddar that the social media giant was "very serious" about launching an in-app digital currency. Despite remaining unconfirmed, such reports h