A digital asset
investment fund
Viska is an alternative investment fund based in Iceland that invests in digital assets.
Viska is an alternative investment fund based in Iceland that invests in digital assets.
Meta is reportedly in early discussions with cryptocurrency firms to explore the use of stablecoins for facilitating global payments, one particular focus being on compensating content creators on Instagram. This initiative aims to streamline cross-border transactions and reduce associated costs. This information was initially reported by Fortune.
What is the Background and Motivation?
In 2019, Meta (then Facebook) launched Libra, a project intended to revolutionize global payments. However, due to regulatory challenges, the project was rebranded as Diem and eventually discontinued in 2022. Now, Meta is revisiting the concept of digital currencies, this time considering existing stablecoins like USDC and USDT for specific use cases such as creator payouts on Instagram.
Stablecoins, being pegged to traditional currencies like the U.S. dollar, offer a stable medium for transactions, making them suitable for small payments without the volatility associated with other cryptocurrencies. By leveraging stablecoins, Meta could aim to facilitate efficient and low-cost transactions for creators worldwide.
Current Developments
Meta has initiated conversations with various crypto infrastructure firms to assess the feasibility of using stablecoins. The focus is on enabling small payments, potentially around $100, to creators, thereby reducing transaction fees and improving the speed of cross-border payments.
In January, Meta appointed Ginger Baker, a former executive at fintech company Plaid and a board member at the Stellar Development Foundation, as Vice President of Product. Her role includes leading the company's exploration into stablecoin-based payment solutions.
Stablecoin supply has exploded in recent years and has never been higher according to data from The Block and DefiLlama as of 28.5.25
Regulatory Landscape
The renewed interest in stablecoins by major tech companies like Meta coincides with evolving regulatory discussions. The U.S. Congress is still currently deliberating on legislation that could provide clearer guidelines for stablecoin usage, potentially easing the path for companies to integrate these digital assets into their platforms. This changing regulatory environment is likely to influence Meta's approach to adopting stablecoins for payments.
Ginger Baker, image from FinLedger - Women in Fintech
Meta's exploration into stablecoin integration represents a strategic move to enhance payment efficiency and reduce costs. While the initiative is still in its early stages, it reflects the company's ongoing interest in leveraging blockchain technology to improve financial transactions on its platforms. As regulatory frameworks evolve and discussions with crypto firms progress, further developments in this area are anticipated.
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