Facebook is invading the blockchain, but how? Back in May, Facebook formed a cryptocurrency team to explore the possibilities, and today it removed a roadblock to revealing its secret plans. Former head of Messenger David Marcus, who leads the Facebook Crypto team, today announced he was stepping d…
2/ The reports are that @davidmarcus is heading a team at Facebook with the intention of launching their own foray into the crypto market. Those who know him, know David is an outstanding executive and he's already built a small, crack team within FB.
Apparently Facebook's cryptocurrency will be called "Facecoin" which is a horrible name. Would've been more fun if it was called Zuck-coin, not to be mistaken with Zooko-coin, ZCash. https://t.co/BSZdlFfLHb
Facebook can go real big here. The have ridiculous distribution (2B+ monthly users). If they roll out a crypto payment or stored value system to their users, the network effects / lock in will be insane. Only Google could really compete (Amazon doesn't have the same international presence as Facebook or Google; Microsoft doesn't have enough mobile presence; Apple only has rich users).
The question is will Facebook take this seriously and invest over the long term to win. Historically, they've had a terrible history of investing and committing to new efforts that don't pay out immediately (killing Parse, sunsetting big parts of their platform, shutting down their Creative Labs, etc.)