Social media giant – Facebook looks to have charted a new course in its payment system drive, with the announcement of a new fiat payment system dubbed ‘Facebook Pay’.
Announced this week, Facebook Pay is designed to facilitate payments across the company’s four platforms – Facebook, Messenger, Instagram and WhatsApp.
Speaking on the launch, Facebook’s VP of marketplace & commerce stated:
“People already use payments across our apps to shop, donate to causes and send money to each other. Facebook Pay will make these transactions easier while continuing to ensure your payment information is secure and protected.”
In an attempt to avoid the regulatory setback encountered with their proposed Libra coin, Facebook highlighted that Facebook Pay is built on “existing financial (fiat money) infrastructure and partnerships”.
The company also adds that the Facebook Pay service will be kept separate for its Calibra Wallet and Libra coin network; as will be required by regulators.
Facebook says the new payment system will first roll out this week on Messenger and Facebook in the US, and will allow users pay for event tickets, fundraisers, in-game purchases, P2P transfers and other purchases on specified businesses through the Facebook Marketplace.
This new service is believed to be a pseudo-test while the company awaits full status on US regulations concerning its Libra coin project.
