Facebook and Instagram parent company Meta plans to launch virtual currencies in its app after the stablecoin project Diem shut down, not getting the approval of financial regulators. While competition between social media platforms increases, Meta is looking for alternative revenue sources and new features to attract new users, maintain, and boost activity.
Related: Facebook and Instagram Plan to Allow Users to Create NFTs
According to a Financial Times article, people familiar with the subject said that Facebook's financial arm, Meta Financial Technologies, has been considering the development of a digital currency for the metaverse, which they internally call "Zuck Bucks".
As reported, the currency will not be based on the blockchain most likely. Probably, there will be centrally controlled in-app tokens similar to those used in gaming apps like the Robux currency in the online game platform Roblox.
Based on company memos and people telling the news, Meta also considers creating so-called social tokens and reputation tokens. They may serve as rewards for contributions, for example in FB groups. Another possibility is the release of "creator coins" that might be associated with certain influencers on Instagram.
FT report also says that Meta has been exploring more traditional financial services focused on providing small business loans. However, most of the mentioned initiatives are in the early phase of discussions, meanwhile, the company's plans to integrate NFTs on its platforms are at a more advanced stage.
Recently, Meta co-founder and CEO Mark Zuckerberg confirmed that Instagram would soon start supporting NFTs.
Trending: Finder: Bitcoin could hit $80,000 by 2025
According to one of the internal memos, Meta plans to release a pilot for displaying and sharing NFTs on Facebook in May. Later, the team will test a feature that will enable group membership for NFT owners and the creation (minting) of NFTs.