Stablecoin Diem and his wallet Novi are one step closer to launch. Facebook CEO David Marcus has provided an update on the regulatory status of the Novi cryptocurrency wallet, which is ready to be launched.
Novi has obtained the approval of most American states
In a recent blog post, Marcus said the Novi crypto wallet has been approved in almost every US state. He added that Novi would not start in places where it did not receive these permits.
Marcus noted that the project undertook that “Novi would not launch Novi without the necessary regulatory approvals, maintained these commitments and consulted with regulators.”
Marcus also revealed some details about the functions of the wallet. He says he will provide free personal payments, both inside and outside the United States. He also said that building a customer base in this way will help Novi benefit from merchant payments in the future.
“Then we can branch out and offer a range of other financial services in collaboration with respected and well-regulated partners and expand from there.”
No launch date yet
These reports mean that after more than two years of development, Facebook’s cryptocurrency is one step closer to launch.
The project was announced in June 2019, but quickly ran into problems. Several members of the project left the association in early October 2019. Around the same time, various European regulators tried to block the project, while the US Congress questioned Mark Zuckerberg about Facebook involvement.
These problems have led Diem to rebrand this year and shift its focus to the United States. In May, Facebook said it planned to launch Diem as a stablecoin covered by the US dollar.
Facebook, Marcus and Diem did not provide the expected release date of the stablecoin or wallet.
Why Facebook is involved in cryptocurrencies
Marcus reveals that over the last few years, many people have asked why Facebook is taking care of building Novi and stablecoin instead of using fiat currencies. Marcus often hears that Facebook has a plan to make money, and that FB can’t do it out of “goodness of heart.” Marcus answered these questions: “I can’t blame people for thinking that. But this statement stems from a misunderstanding of the technology industry and the ethos associated with most successful technology companies. ”
As to why FB uses stablecoin and not fiat, Marcus says:
“I firmly believe that if it was ever possible to create an open, interoperable protocol for money on the Internet and really change the game for people and businesses around the world, it is now.”