Facebook will officially launch its cryptocurrency in the first quarter of 2020, reports by the BBC and Financial Times have revealed.
The social media giant’s cryptocurrency, called “GlobalCoin” will be used as a payments system, with Facebook set to roll it out in about “a dozen countries.” Per the reports, trials for the system are set to begin later this year.
The report states that Facebook has engaged both the U.S. Treasury and the Bank of England (BoE) seeking advice on the project. The platform’s officials have allegedly met BoE governor Mark Carney to find out more in relation to available opportunities for the “Libra” project and whether there are any major regulatory hurdles that need to be ironed out.
The Financial Times (FT) has also reports that Facebook has held talks with crypto exchanges Coinbase and Gemini about the “Globalcoin.” According to FT, the talks have mainly focused on preparations that regulated third-party platforms need to make that will help the coin’s users to store and transact.
FT notes that although Gemini owners Tyler and Cameron Winklevoss battled Facebook founder Mark Zuckerberg in the past, the pair’s Gemini is one of the most highly regulated exchanges in the U.S.
The publication, citing sources, notes that this is a factor that is likely going to appeal to Facebook because regulation represents one of the major hurdles the new cryptocurrency faces.
In addition to Coinbase and Gemini, Facebook has also engaged trading firms Jump and DRW as it looks to leverage their expertise in market creation and liquidity.
News about Facebook’s plans for a cryptocurrency in 2020 come similar reports earlier in the month stating that Facebook was in talks major payment firms Visa, Western Union, and Mastercard. The discussions are said to center on the social platform’s need for funding partners for its fiat-based stablecoin.
Facebook moved one step further in its efforts to have an in-house stablecoin when it registered “Libra Networks,” a new company that is expected to drive the crypto project in terms of developing the hardware and software needed for the launch of the cryptocurrency.