How Facebook could mark a tipping point for cryptocurrencies

Survey reveals it could be the sign investors are seeking

How Facebook could mark a tipping point for cryptocurrencies
Steve Randall

The expectation that Facebook will enter the burgeoning cryptocurrency market could mark a milestone for digital assets.

There have been rumours that the social media behemoth is planning to launch its own ‘stable-coin’ and a new development has been highlighted in a report from Reuters.

A newly registered fintech company in Switzerland called Libra Networks lists Facebook Global Holdings as a shareholder. Libra is focused on investments, crypto-based payments, and blockchain, the underlying technology of Bitcoin and other cryptocurrencies.

According to financial education site LendEDU, investors’ participation in cryptocurrencies could almost triple if Facebook does offer its own digital currency.

While just 7% of investors polled by LendEDU said they currently invest in cryptos, 18% expressed an interest in a Facebook offering, buoyed by the potential of its huge global reach.

Of those that would invest in a Facebook cryptocurrency, 57% said that they trust the firm more than other companies to deliver a reliable crypto product.

However, the poll also found that 65% of those who would not be interested in investing in a Facebook cryptocurrency would not be interested regardless, while 27% would specifically not be interested in a Facebook product as “I do not trust them, especially with my money.”

Of those that have already invested in cryptos, 30% would not be interested in a Facebook option.