Facebook Inc. (NASDAQ: FB) shares made a handy gain on Friday after over a dozen companies said that they were ready to back its upcoming foray into cryptocurrency. While Facebook hasn’t come public with the cryptocurrency yet, an announcement is expected next week.
This has been in the works for more than a year, and the secretive project revolves around a digital coin that its users could send to each other and use to make purchases both on Facebook and across the internet.
The Wall Street Journal reported that several big name tech companies are getting in on this action, including Uber, PayPal, Visa and Mastercard. As such, these firms are expected to invest roughly $10 million each to support Facebook’s new cryptocurrency. Facebook is looking to raise as much as $1 billion for the effort.
Facebook won’t directly control the coin, nor will any individual backer of the group, known as the Libra Association. Some of the members could serve as “nodes” along the system that verify transactions and maintain records of them, creating a brand-new payments network.
The social-media giant has also hired a U.K. bank lobbyist as its director of public policy in London, the Financial Times said. The Wall Street Journal also reported Facebook plans to step up its marketing spending in a shift in its consumer-facing advertising strategy.
Shares of Facebook were last seen up about 2% at $180.92, in a 52-week range of $123.02 to $218.62. The consensus price target is $222.30.
The Average American Is Losing Their Savings Every Day (Sponsor)
If you’re like many Americans and keep your money ‘safe’ in a checking or savings account, think again. The average yield on a savings account is a paltry .4% today, and inflation is much higher. Checking accounts are even worse.
Every day you don’t move to a high-yield savings account that beats inflation, you lose more and more value.
But there is good news. To win qualified customers, some accounts are paying 9-10x this national average. That’s an incredible way to keep your money safe, and get paid at the same time. Our top pick for high yield savings accounts includes other one time cash bonuses, and is FDIC insured.
Click here to see how much more you could be earning on your savings today. It takes just a few minutes and your money could be working for you.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Latest from 24/7
