Here’s How a Facebook Cryptocurrency Could Work

Earlier this year, a few days after we rung in the new year, Facebook founder Mark Zuckerberg sent shockwaves through the cryptocurrency world. In a Facebook post, the company’s CEO outlined his personal goals for 2018 – one of which is learning about cryptocurrency technology and decentralization. The inclusion of blockchain technology in his post, which was centered on improving the social media network during the new year, sparked a wildfire of online speculation. It made us start to think: will we see a Facebook cryptocurrency this year? What about a Facebook ICO timeline, at least?

A Facebook ICO Is Absolutely Possible. Here’s Why:

The world of cryptocurrency is slowly, but surely becoming more and more engrained into our traditional ways of using money. There are already debit cards that withdraw directly from cryptocurrency wallets, for example. Large financial organizations, like Santander and MoneyGram, have been partnering with blockchain companies to collaborate on payment systems.

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As the utility and efficiency of blockchain-based payment solutions (and decentralization, in general) is more absorbed into our society, it would only be a matter of time until Facebook embraces cryptocurrency.

There are a number of reasons why it could be a reality sooner than you might think.

Blockchain-based social networks have already been launched

Turning a social network into a platform that supports a cryptocurrency has already been done before. Ever heard of Steemit (STEEM)? Users create content, and other users upvote that content – which rewards the creator with cryptocurrency.

Steemit may be the most popular social media network that focuses on cryptocurrency, but there are a ton of lesser-known ones that have launched – like Social (SCL). There are also active ICOs for blockchain-based social networks, such as SocialX (SOCX). There are also more to come in the ICO pipeline. There’s one called Peerity, for example, and another one called Akasha.

Imagine if a social network with the global dominance of Facebook launched its own cryptocurrency. A Facebook cryptocurrency would certainly eclipse all the aforementioned ones.

The Facebook of China is Doing an ICO

Sure, the biggest corporate giants like Facebook, Amazon, and Google haven’t made public plans to launch their own crypto coins. But there have been a few large players in the market that have, so it’s a slowly-rolling snowball at the beginning of its descent. Overstock.com is even launching a cryptocurrency, called “tZero,” via a subsidiary.

But, more importantly, the “Facebook of China” announced recently that it will be holding an ICO. The company, called Renren, is a popular social networking platform based in China. Even though China bans ICOs, Renren is able to hold one in the US because it’s listed on the New York Stock Exchange.

Its coin will be called the RRCoin.

A Facebook ICO might look similar to how the RRCoin launch goes – so we will certainly be paying attention. The “Facebook ICO of China” can certainly be a glimpse into how a FacebookCoin rollout might be if it were to really happen.

The news of Renren’s ICO, which was made by releasing its whitepaper, drove the company’s public stock 47.4% higher in a single trading day. Can you imagine what kind of profits Facebook shareholders might get on the day that the Facebook cryptocurrency gets announced?

The Facebook Cryptocurrency Could Be Used So Many Ways

We already know how cryptocurrency value works in Steemit (STEEM), but Facebook is a platform that covers so much more of the globe – and much more aspects of our lifestyles. The Facebook cryptocurrency could be earned by attaining “likes,” or maybe by posting content that gets shared the most.

A Facebook cryptocurrency could be a token used by advertisers, or even artists that reach consumers by releasing their content on the social media platform. It could tie into the various games that people play on the site.

A Facebook ICO might even mean the launch of a new type of marketplace or newly-created Facebook product. More importantly, how would Facebook go from centralized to decentralized?

The possibilities are pretty wide-open at this point, but so are the questions they raise.

The idea of a cryptocurrency is exciting, and maybe Mark Zuckerberg will take the idea a little more seriously after the RRCoin launch happens. We are certainly going to sit anxiously waiting.




Disclaimer: This article should not be taken as, and is not intended to provide, investment advice. Please conduct your own thorough research before investing in any cryptocurrency.

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Tim is a graduate of the University of California Los Angeles, where he has a B.A. in Global Studies with a minor in Geography/Environmental Studies. He worked for nearly two years as a Research Associate at a top investment banking software provider. He then began working as a freelance writer, covering stock market news and writing corporate content. He has been investing in and researching cryptocurrency for about a year, and has been blogging almost daily on the topic since mid-2017. Tim has contributed to both LiveBitcoinNews.com and CCN.com.

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