Facebook’s Libra stablecoin is quickly gaining steam. It apparently is going to enter testing this week on a testnet managed by the social media giant’s Libra Association. The digital currency will reportedly be hosted on the Libra Blockchain and backed by the Libra Reserve, but it has also reportedly found support outside of Facebook, as well. PayPal, Uber, Visa, MasterCard and several more companies are backing the coin, according to the Wall Street Journal.
It’s not too surprising that Visa would climb aboard. After taking a severe dislike to crypto over the past couple of years, it has started to soften its position. This comes, more than likely, from the realization that it is losing ground as crypto transactions are proven to be cheaper and more effective, and as more retailers drop the credit card and its payment processing.
In addition to the aforementioned entities backing the Libra, the Wall Street Journal also reports that Booking.com, MercadoLibre and Stripe are involved. However to what extent and how have not been revealed, but there are certain rumors.
The Libra is expected to be made available on Facebook’s various platforms – Facebook Messenger, WhatsApp and Instagram – but could be seen on other platforms, as well. It has been stated by an executive with MercadoLibre, in a conversation with Cointelegraph Brazil, that stablecoin will be rolled out on the eCommerce sales platforms as a form of payment. The executive, who remained anonymous, added that no more details would be provided.
The Libra is expected to be officially announced tomorrow. One of its primary goals, according to Facebook, is to help those who do not have access to traditional banking channels. The company has been working on ensuring it can meet regulators’ requirements in different jurisdictions and has stated,