Facebook is contemplating developing goods and services for nonfungible tokens, or NFTs, the digital assets that have exploded in popularity as a result of the growth of blockchain technology.
In an interview with Bloomberg Television on Tuesday, Facebook executive David Marcus stated, “We’re absolutely looking at the amount of ways to become engaged in the area because we think we’re in a pretty strong position to do so.”
Marcus is the head of F2, or Facebook Financial, which is working on the company’s Novi digital wallet. He suggested that the wallet might be used to store NFTs. “You also have to think about how to assist customers support NFTs when you have a strong cryptocurrency wallet like Novi,” he said. “We’re certainly considering it.” He didn’t elaborate on the kind of NFT-related products Facebook might develop.
Facebook’s digital wallet is “ready now,” according to Marcus, but the firm has been holding off on launching it until it can do so with Diem, the digital currency formerly known as Libra, which Marcus co-founded in 2019 from within Facebook.
Diem intends to launch a so-called stablecoin backed by the US dollar, but it’s unclear when that will happen. When it was first announced, the initiative received a lot of backlash from politicians and authorities, and while Facebook is still a partner, Diem is now operated separately.
Marcus stated that Facebook would consider introducing the Novi wallet without Diem as a “last resort,” but he feels that both are required to alter the way people make payments. The social network company is hoping that consumers would use Facebook’s wallet to send Diem, which would save money on fees and shorten the time it takes to send money internationally.
Without further payment technology innovation, Marcus believes Western countries, such as the United States, would struggle to stay up with China in adjusting to a world where digital payments are the norm.