Is Facebook turning to Blockchain?
This article is written by a guest author
Not only tech companies but Blockchain technology has also impacted social media in many ways. Its major example comes from Facebook, which has recently appointed a new unit, headed by David Marcus, one of the senior employees of Facebook.
Up until now, the company has not explicitly mentioned the reason for this step; therefore, it is left to speculate. To find out what the matter is, crypto enthusiasts have turned to the resume of Marcus. Marcus has been the president of PayPal and also the head of Messenger. Moreover, it has been the board of members of Coinbase. Going through his roles so far, speculations are that the social media giant may be eyeing a payment gateway with the help of blockchain.
Facebook is looking forward to blockchain as it can become a crucial part of the internet.
It has always tried to present the best solutions to prevent people using other services. It has even collaborated or bought a ton of companies to get their IPs and keep their audience intact to it. It copies, for example, video chats offered by its competitor Snapchat, everything it cannot have.
If the blockchain tends to transform the regular use of the internet, Facebook will want to align with the change. So what does the company ought to do using blockchain technology?
Let’s figure it out!
Blockchain-level secure data is the goal
Most people think that Cambridge Analytica has lead to the mass exodus from the platform which is a misconception. But Facebook users are still not convinced about the way it handles their private information.
Decentralisation of information is a major selling point for blockchain technology which can be one of the reasons behind the turning of the company to it.
Considering these two things Blockchain experts have speculated that Facebook might have planned to integrate the Blockchain with its network to enhance the security of its users’ data.
We cannot ignore that they has financial incentives of all types which it uses for sending and storing data. Moreover, we cannot expect that the company will stop making Scrooge McDuck-levels of cash. Integrating blockchain means distributing data over the ledger, and this transfers the information to everyone on the network. No matter how strong is the data encryption, this cannot be changed. Even if you delete your account, you cannot delete your information.
Perhaps, Facebook may generate its cryptocurrency. The company has dived into digital currency- and offers credits that has turned its applications into an arcade.
Facebook could even stop the actions of developing meaningful interactions and prompting people to crawl more on the site by rewarding successful posts that talk a bit about cryptocurrencies.
What can turn out to be a good fit for Facebook is the integration of cryptocurrency trading with its growing marketplace. By embedding trading features in its payments gateways, Facebook can help people make the most of cryptocurrency.
This cannot happen in seconds as David Marcus is still involved with Coinbase. Therefore, chances are less that Facebook will make its new crypto product. Still, what Facebook has exactly planned is not clear. One thing is clear that the company is serious about Blockchain and everything related to it, for example, wallets, Mining Pools, Bitcoin, etc.
Once integrating Facebook with Blockchain, the company may reignite the interest of beginners and shattered investors who could not able to make a huge profit in this industry.