David Marcus, a former head of Facebook messenger, now the leader of a blockchain-dedicated group within Facebook, announced on Friday that he is going to step down from his position on the panel of Coinbase, a crypto trading platform. This move by Marcus was made to “circumvent any conflict of interest” between Marcus’s two roles.
Although Facebook hasn’t revealed any explicit plan to use the decentralized blockchain technology, Marcus leaving Coinbase advocates that Facebook’s blockchain desires are serious and ongoing. Facebook’s plans could lead to the issuance of a cryptocurrency of its own, which could promptly make Facebook a strong player in the universal payments network; or acquiring key blockchain startups, possibly even Coinbase itself.
Marcus joined the Coinbase board in Dec of 2017. A few months after, on May 2018, he started exploring blockchain at Facebook.
In the past, Marcus was once the President of PayPal, a payment solution enterprise, and in 2011, he attained his digital-payments startup, called Zong.
Facebook Messenger possesses its own internal payments feature – launched in 2015 – which largely interfaces with its users’ old-fashioned bank accounts.
New reports claim that Facebook has been contacting major banks to incorporate financial data within its social platform. A move that showed Facebook’s desires to enlarge its role in e-commerce and finance, and at the same time raise red flags for many regarding the website’s recent wave of disagreements over privacy.
While Facebook has stressed that its consideration of cryptocurrency is still in its premature stages, that occurrence suggests numerous possible benefits of using the technology as well as making some pitfalls known. In May, Facebook Chief Executive Officer Mark Zuckerberg said that a technology like that of the blockchain could give its users more control over personal and other financial data. That could assist in moderating future hostile response against the platform, which in recent times reported a poor user growth.
Furthermore, Zuckerberg admitted that blockchain systems, which operated on dispersed swarms of servers, are “very hard to control”.