Looks like Meta’s back at it, exploring the world of stablecoins. On May 8, sources spilled the beans to Fortune, revealing that the tech giant is in early talks with crypto infrastructure firms about how stablecoins could be used, potentially for small-scale payouts to creators on platforms like Instagram. Oh, and they might just keep it open-ended, possibly supporting multiple stablecoins, no favorites here.
Which Stablecoins Are On the Table?
So, what stablecoins are under consideration? Well, according to the sources, Meta’s eyeing heavy-hitters like USDT and USDC. The goal? Low transaction fees and easy integration, especially for global markets. Sounds like Meta wants to keep things simple and efficient, especially in regions where traditional payouts are slow or pricey.
Before you get too excited, we should mention that these talks are still in the early stages. Sources say Meta’s just “in learn mode” right now, so don’t expect any announcements just yet. Still, it's clear Meta’s feeling out the stablecoin waters.
Meet Ginger Baker, Meta’s New Crypto Guru
In a move that screams "we're serious this time," Meta recently hired Ginger Baker as VP of Product. She’s no rookie, Baker comes with a killer background in fintech and blockchain from Plaid and the Stellar Development Foundation. She’s also helping shape Meta’s stablecoin strategy internally, so if anyone knows what’s going on, it’s probably her.
Now, if you remember the whole Libra fiasco, you might be skeptical about Meta’s crypto comeback. That project, which later became Diem, was supposed to be a global digital currency but ran into a mountain of political and regulatory drama. Meta bailed on it in 2022 and sold off the assets to Silvergate Bank. But, hey, stablecoins are a different beast now, right?
Stablecoins Are Hot, But Washington’s Not Sure What to Do
Stablecoins have picked up steam, especially among fintech companies and institutions. Even Stripe’s on the train, launching stablecoin-based financial accounts in over 100 countries. Big names like Visa, Fidelity, and Bridge are diving in too. But while corporate adoption is skyrocketing, Washington’s still trying to figure out how to regulate this booming market.
Just this May, the U.S. Senate voted down the GENIUS Act, a bill that was supposed to set up a federal framework for stablecoin regulation. It didn’t pass, with objections from Senate Democrats over the lack of protections against illicit financial activity. Looks like the stablecoin regulation saga isn’t over just yet.
All in all, it seems Meta’s getting back into crypto, but this time, it’s stablecoin-based and, hopefully, drama-free. Let’s see how this one pans out!
Abimbola Adu
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