Yet more details have emerged about Facebook’s upcoming cryptocurrency, said to be called GlobalCoin, and this time they come directly from the company.
Speaking to German business magazine WirtschaftsWoche earlier this week, Laura McCracken, Facebook’s head of financial services and payment partnerships for Northern Europe, confirmed that the planned stablecoin will not be tied to any single fiat currency, but will instead be linked to a basket of currencies in order to prevent volatility.
The executive also added to recent reports that GlobalCoin would be revealed later this month, saying that a white paper for the token would be published on June 18.
McCracken was talking to the magazine at a trade conference in Amsterdam.
The confirmation comes after reports listing some of the executives said to be working on the effort. These include MIT’s Christian Catalini as chief economist and Sunita Parasuraman, manager of the Switzerland-based foundation leading the token project.
Facebook may further set up physical portals for users to purchase the cryptocurrency, as well as charging third parties as much as $10 million for the privilege of supporting the network as nodes, according to The Information.
Elsewhere, Russian news site RBC reported Thursday that head of oil firm Rosneft, Igor Sechin, told the St. Petersburg Economic Forum that Facebook’s cryptocurrency could possibly be used in oil transactions “in the near future.” Sechin, however, seemed to be talking generally about how big U.S. tech firms like Google, Apple and Facebook are making moves into the energy industry.
He added the skeptical note:
“At the same time, someone might get the illusion that technology giants will make the energy market fundamentally more transparent and efficient, becoming a panacea for solving the acute problems of modern times.”
More names are being linked to Facebook’s secretive cryptocurrency project.
Following a report Wednesday by The Information claiming the social media giant’s “GlobalCoin” could debut as early as this month, CNBC reported on 10 Facebook executives linked to the effort.
Additionally, as first reported by CoinDesk in May, The Information says MIT’s Christian Catalini is the Facebook crypto project’s chief economist.
Sunita Parasuraman is the manager of the Switzerland-based foundation leading the token project, according to The Information. Meanwhile, some of the 10 executives working under Facebook blockchain lead David Marcus are based in Israel, CNBC reports.
None of the 10 listed in the article come from cryptocurrency backgrounds, though some have past experience in financial technology. Prior to joining Facebook, Marcus was the president of PayPal.
Nearly 30 open blockchain roles are listed on the Facebook careers page. That number has grown steadily since late last year.
As noted by The Information Wednesday, a February acquisition of the blockchain startup Chainspace also added to Facebook’s crypto team – though the startup’s CEO only stayed on for a month.
“Here’s a privacy project, that’s what I like,” Chainspace founder Dave Hrycyszyn told CoinDesk in May in a story about his new company.
Corresponding with previous reports from as early as December 2018, The Information, citing unnamed sources, says the Facebook cryptocurrency will be “designed to function as a borderless currency without transaction fees and will be aggressively marketed in developing nations where government-backed currencies are more volatile.”
The full timeline of everything we know about Facebook’s cryptocurrency can be found below.