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Facebook aims to introduce blockchain-based payments platform

May 3, 2019

Facebook Inc. has entered discussions with financial companies and online merchants in hopes of launching a blockchain-based payments system, according to a report by the Wall Street Journal. The social media company seeks approximately $1 billion in investments and has also approached high profile players in digital payments, including Visa Inc., Mastercard Inc. and First Data Corp., a financial data and POS platform being acquired by Fiserv.

The social media company has been working on a blockchain payments effort while facing intense scrutiny for alleged violations of user privacy. Facebook officials declined to comment on specifics of the report, but affirmed the company's long-time interest in virtual currencies.

"Like many other companies, Facebook is exploring ways to leverage the power of blockchain technology," a Facebook spokesperson told ATM Marketplace sister publication Mobile Payments Today via email. "This new small team is exploring many different applications."

Facebook earlier this year acquired a small team from the blockchain startup Chainspace, a firm that specializes in smart contracts. The company also recently created a position for a blockchain lawyer to help find potential business partners.