Facebook will debut a cryptocurrency called GlobalCoin on June 18th. That’s sooner than earlier reports, which indicated that GlobalCoin would drop in 2020.
GlobalCoin will be a stablecoin that will be tied to not only the US dollar but also several other fiat currencies and low risk assets. This means that people who use GlobalCoin won’t have to worry about prices changing overnight. In addition to being more stable, GlobalCoin will also be easier to use compared to Bitcoin. Facebook users will be able to use Facebook Messenger to send GlobalCoin to payments each other.
According to TechCrunch, GlobalCoin users won’t have to pay any transaction fees, either. That alone could prove to be revolutionary, since it would mean that anyone in the world could send money to someone else for free through Facebook.
The fee for sending fiat payments across national borders averages 6.7%, according to The World Bank. Normally, it only costs around 30 cents to send a Bitcoin payment. However, fees spiked all the way up to $37 in late 2017 and early 2018.