Five sources say that Meta, a renowned tech company, is in talks with crypto firms to explore using stablecoins for global payments. These talks are still in the early stages, and Meta has not made anything official yet.
For context, stablecoins are digital tokens that don’t jump up and down in price. They are usually linked to the U.S. dollar. This makes them useful for sending money quickly without exorbitant fees. Meta’s idea is to use them to send small payouts, such as paying content creators across different countries according to Fortune’s report.
An executive from a crypto company said that Meta might use stablecoins on Instagram. The plan would be to send creators small payments, around $100, without the usual fees. Two other sources confirmed they also spoke with Meta about this same use.
In January, Meta hired Ginger Baker as Vice President of Product. Her LinkedIn shows a background in fintech. She worked at Plaid and is on the board of a blockchain group called Stellar Development Foundation. A person familiar with Meta’s plans said Baker is helping lead the company’s stablecoin research.
Three sources said Meta began reaching out to crypto platforms earlier this year. One crypto executive said the company is currently “in learn mode.” That means they’re studying different options and not tied to any one stablecoin provider yet.
Meanwhile, some companies are already diving into space. In Oct 2024, Stripe bought the stablecoin startup Bridge for $1.1 billion. Visa also partnered with Bridge as well.
The timing is also interesting as Congress is reportedly discussing two bills to regulate stablecoins. These discussions could give companies more clarity after years of unclear rules. Under President Biden, crypto companies faced tough restrictions. But with Donald Trump’s win last November, companies now see more freedom to explore crypto.
Meta has tried crypto before. In 2019, it launched Libra, a digital coin project backed by companies like Uber and PayPal. Libra was later renamed Diem, but it ran into serious opposition in Washington. By 2022, Meta shut it down and sold off its assets.
When asked about it, Mark Zuckerberg said, “That thing’s dead,” when asked about Diem. But he also added, “There’s plenty of things that [we’re] late to and have to claw our way back into the game.”
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