Meta, the parent company of social media giants Facebook, Instagram, and WhatsApp, is reportedly working on plans to offer non-blockchain virtual coins.
According to Financial Times, “Zuck Bucks,” as it is known among Meta workers, is one of these virtual monies intended for the metaverse.
These coins would not be a blockchain-based cryptocurrency, according to the report, which also stated: “Instead, Meta is leaning towards introducing in-app tokens that would be centrally controlled by the company, similar to those used in gaming apps such as the Robux currency in popular children’s game Roblox.”
Robux, Roblox’s in-game currency, may be purchased via the game’s apps and then used to purchase upgrades or avatar accessories. Roblox has created a sizable company on Robux, and Meta could be hoping to follow in their footsteps.
Meta has also devised plans to produce “social tokens” or “reputation coins,” which will be awarded to users for their efforts on the company’s social networks, including Facebook, according to the source.
“Another effort is to make “creator coins” that might be associated with particular influencers on its photo-sharing app Instagram,” the report said.
Meta’s move away from blockchain-based coins/crypto-assets comes after the company’s failed attempt to launch a US-backed stablecoin was met with massive regulatory opposition. Then, as previously reported, Silvergate, an American chartered bank, confirmed plans to buy Diem’s intellectual property.
As the popularity of its primary social networking platforms, such as Facebook and Instagram, continues to decline, Meta, led by CEO Mark Zuckerberg, has been exploring additional revenue streams.
Facebook lost 1 million daily active users in the fourth quarter of 2021, according to Meta’s Q4 2021 and full-year performance reports. In February, Meta’s market value plummeted by nearly USD 220 billion after Facebook CEO Mark Zuckerberg claimed that customers are spending more time on competitors like TikTok.
Meta has been attempting to compensate for these losses by providing more traditional financial services, such as low-interest small-business loans, according to a report.
“While nothing is immediately planned, the company has previously held discussions with potential lending partners,” the FT said, adding that “most of the efforts are in the early stages of being discussed and could change or be dropped.”
However, according to reports, the business has completed plans to extend support for non-fungible tokens (NFTs) across all of its social platforms, including Facebook.
In mid-March, Zuckerberg announced that Instagram will enable NFTs “in the next months.” According to the Financial Times, Meta also wants to bring NFTs to Facebook.
“Meta plans to launch a pilot for posting and sharing NFTs on Facebook in mid-May,”
It also stated that the social media network will begin testing a feature that might make owning an NFT a requirement for joining Facebook groups.
The company’s top executives see the metaverse as the “next chapter of the internet,” as seen by Meta’s growing interest in the virtual world and blockchain-based developments.
“We’re making changes to our product strategy and road map . . . so we can prioritize on building for the metaverse and on what payments and financial services will look like in this digital world,” Stephane Kasriel, the new head of Meta’s finance division, reportedly said earlier this year.
