Meta could introduce virtual tokens different from cryptocurrencies

7 avril 2022

Meta News

Meta, the parent organization behind social media platforms Facebook, Instagram and WhatsApp, is reportedly making plans for the introduction of virtual tokens that will not be blockchain-based.

Dubbed "Zuck Bucks" within the walls of Facebook, it is one of the virtual tokens designed for the metaverse, according to a recent Financial Times article.

The article notes that this token would not be a blockchain-based cryptocurrency:

"Instead, Meta is leaning towards introducing in-app tokens that would be centrally controlled by the company, similar to those used in gaming apps, like the Robux currency in the Roblox kids game."

Robux, the in-game currency Roblox, can be purchased through in-game apps and can then be used to pay for avatar upgrades or accessories. Roblox has built its business model around Robux, and Meta could use the same strategy. The article adds that Meta has also hatched plans to create "social tokens" or "reputation tokens," rewards distributed to users for their contributions on the company's platforms, primarily Facebook.

"Another initiative involves developing 'creator coins' that could be associated with particular influencers on its Instagram photo-sharing app," the post said.

Meta's move away from blockchain-based tokens/crypto-assets comes after the company's plan to launch a US dollar-backed stablecoin faced huge regulatory backlash only to ultimately fail. Then, as noted, US bank Silvergate confirmed its intention to purchase Diem's ​​intellectual property. Meta, under Mark Zuckerberg, has explored other sources of revenue as the popularity of its main social media products, such as Facebook and Instagram, continues to fall.

According to Meta's performance results for the fourth quarter of 2021 and the full year, Facebook lost 1 million daily active users in the last quarter of 2021. And in February, Meta lost over $220 billion in valuation. market after Mark Zuckerberg said customers were spending more time on rival platforms like TikTok.

To compensate for these losses, Meta has tried to offer more traditional financial services, such as small business loans at attractive rates.

“Although nothing is immediately planned, the company has already had discussions with potential loan partners,” the FT said, adding that “most of these initiatives are in discussions and could change or be abandoned."

However, the company has reportedly finalized plans to add support for non-fungible tokens (NFTs) to its social platforms, and that also includes Facebook. Zuckerberg revealed in mid-March that Instagram will begin supporting NFTs "over the next few months." However, the FT claims that Meta also aims to introduce NFTs to Facebook.

"Meta plans to launch a pilot for posting and sharing NFTs on Facebook in mid-May," the post said.

He adds that the social platform will then begin testing a feature that could make possession of NFTs a prerequisite for joining Facebook groups. Meta's growing interest in the virtual world and blockchain-based innovations comes as company executives see the metaverse as the "next chapter of the internet."

"We are making changes to our product strategy and roadmap [...] to prioritize the building of the metaverse and the payments and financial services of this digital universe," said Stéphane Kasriel, the new director of the financial division of Meta, at the beginning of this year.