What Happens When Facebook's Global Coin is Launched?
Our friends at Facebook are launching their crypto currency Global Coin early in 2020. They have been developing their crypto blockchain coin for a year now. Facebook is saying that by the end of this year, December 2019, they will begin testing their coin and blockchain. What does this mean for Bitcoin and other crypto currencies? Is it going to help or hurt Bitcoin?
In short, it will not hurt Bitcoin. BTC has a unique advantage over all other coins. BTC is the longest non interrupted blockchain in the world. It is well established and has survived all attempts to compromise its code. It is decentralized and has great momentum (10 years worth) and the largest network effect (people participating in it). Facebook's Global Coin will only help to educate the global masses about crypto technology and the blockchain. Their Global Coin will help get people used to cryptos and interacting with it. I do not fear Facebook's coin nor do I want to bad mouth their attempts in getting involved with FinTech. To me, they are smart by getting on the bandwagon and adopting the inevitable blockchain technology. In fact, all Fortune 500 corporation must adopt blockchain technology to survive.
Here is another point that I think will help to keep in mind. Interoperability of blockchains is going to be a must for the entire FinTech industry. For any crypto currency or token to survive, each and every blockchain must be able to "talk" to one another. Their must be Atomic Swap capability and smart contracts to travel from each crypto platform. Any crypto currency or token that can not talk to other platforms will end up being marooned on its own island of non usage. Facebook will need to be interchangeable with BTC, Litecoin (LTC), Ethereum (ETH), Cardano (ADA), Dash and the others top 100 coins. If a coin's platform does not have interoperability, it will be dead in the water.
So, Facebook's coin, Global Coin, will help bring the millions of masses into the crypto world. I am sure facebook will have simple, quick easy to use interfaces that will allow everyone to point and click and use the coin. In turn, all of these new people will be one click away from Atomic swapping their Global Coin for BTC, LTC, Dash, ETH or any other coin out their.
FinTech is moving at lightning speed. In the next two years, I predict 25% of the world's population using some form of crypto and a blockchain platform. Within five years, we will see 80% of the population using one form of crypto. This technology will surprise 95% of the population with regards to how fast it will become main stream. In two to four years, it will be very expensive to own any of the top 30 crypto currencies out there. Early adopters will do very well during the transition from our old Fiat monetary system into the new digital age of crypto and blockchain.
image from: u.today