Social media giant, Facebook, recently took the cryptocurrency world by its feet. This week, Zuckerberg announced its company’s very own cryptocurrency: Libra. Soon after its release, it was clear that a budding economy like India will be growth potential driver for Libra. But, the cryptocurrency has already received harsh criticism. The project is also facing pushbacks from US lawmakers.
Social media giant, Facebook, announced an unexpected entry into the cryptocurrency world. After announcing its project on in-house cryptocurrency, Libra, it for sure needs a market to skyrocket its initial growth. Libra will be looking out for explosive economies from growing economies like India. This comes from strategists at Jefferies Financial Group Inc.
The Libra project will launch ASAP, for the company sees big money and business coming from it. India, in this case, appears to be a suitable ground an economy for Libra to flourish in its early stage. The “S-curve” style payments systems are growing in India. The value of transactions is already jumping 50x and more, in the past two years to ₹143 trillion.
Recently, the social media giant even made its only second ever move in the Indian startup space. It invested an “undisclosed” amount in the social commerce startup, Meesho.
Know more about this move, follow: Facebook backs social commerce startup, its second move till now in India.
Will Facebook’s cryptocurrency give it any more political power?
The company received a lot of criticism and is still fighting for its irresponsible behaviour. And now with the cryptocurrency announcement, some believe that Zuckerberg is trying to give more power to his company on political grounds. Having its own virtual currency and aiming for it to compete with dollar some day pictures Mark’s vision to many as if he’s trying to make his company a “virtual nation”. The project is also facing pushbacks from US lawmakers.
Yet, after all of this, for Libra to settle in India, it will have to compete with Alphabet Inc. and Amazon.com. This is because Libra’s biggest competitors are also trying to set up fintech space in India.