It was a subordinate clause of a longer article in “The Economist“, which could easily be overlooked at first glance. But what was written in it makes the rumour mill boil.
But the tech giants are starting to pay more attention to it. There are rumors that Facebook wants to buy Coinbase, a crypto company.
Of course, neither Facebook nor Coinbase wanted to comment on the matter when The Independent looked into it. Therefore, one must treat the statement as what it is: a rumour. But what is actually true about this rumour?
Facebook interested in blockchain and crypto technology
Recently Facebook founded a “Blockchain Unit”. In addition, an unnamed source said that https://www.onlinebetrug.net/en/ is planning its own crypto currency. However, the message of an own crypto currency is not surprising. It has often been suspected that this will happen in the near future.
From Facebook’s point of view, however, the Coinbase acquisition would make sense. On the one hand, to support your own blockchain unit, because finding experienced blockchain developers is not only difficult, but also costly. The purchase of an experienced company could be more effective in the long run.
It is also possible to advertise crypto currencies on this page again. The giant’s plans may change and integrated crypto currencies could become the next “game changer”.
A separate crypto currency would certainly be classified as a security, which is why the integration of existing (and recognised) crypto currencies means significantly less bureaucracy. Only the scalability of digital currencies could become a problem.
Coinbase as crypto giant
From Coinbase’s point of view, however, a sale makes less sense. The crypto company has recently acquired several start-ups and is now also represented in Japan. Coinbase is the Google of the crypto market and it doesn’t really fit into the picture that the crypto giant is selling. It is also questionable whether Brian Armstrong, CEO of Coinbase, who put all his heart and soul into the company and still does, wants to sell.
Purchase of Coinbase unlikely
In addition to Bitcoin Code, Facebook would have to spend a lot of money, as Coinbase has recently been estimated at 8 billion USD. For the social media giant, this would be the second largest acquisition after Whatsapp (USD 19 billion). Instagram was acquired for $1 billion.
In addition, Facebook could be a thorn in the side of ongoing regulation. However, Facebook is already rebelling against the authorities that persuaded it to ban crypto advertising. And other crises and scandals were also mastered without problems and without consequences, the social media giant is aware of its position and will not be too afraid of consequences.