Tim Draper hints interest in Facebook’s new cryptocurrency project as major banking executives conclude their testimony on Capital Hill and Ripple makes an investment in an early-stage blockchain venture capital fund.
Facebook Seeks Funds
According to reports, Facebook is actively seeking $1 billion from hedge funds, venture capitalists and other wealthy individuals to launch a stablecoin that will be pegged to the US dollar or a basket of currencies. The new stablecoin will allow users in India to transfer money on its WhatsApp messaging app.
The move to target India for the coin’s debut is twofold. With a population of 1.339 billion, India is the largest remittance-receiving country in the world with $69 billion in annual payments. Second, it makes up the largest user base on WhatsApp, Facebook’s popular messaging app, with over 200+ million users.
Bitcoin bull and billionaire venture capitalist Tim Draper is one of several potential investors who is expected to meet with the social media network to discuss an investment in the new crypto project.
On a phone call to Bloomberg News, Draper says,
“I am interested to hear the story…We will see if it is a fit.”
Draper was one of the first Silicon Valley players to invest in Bitcoin and has invested in blockchain-related companies such as Bancor and the leading US cryptocurrency exchange Coinbase.
Despite Facebook’s push to introduce a stablecoin, the social media giant is still battling broad issues related to privacy and fake news. The BBC calls WhatsApp the ‘black hole’ of fake news in India’s recent election, Facebook has also suffered a fresh major data breach, according to a report released last Wednesday by cybersecurity research firm UpGuard,