New Bitcoin Industry Research Study Shows Facebook Coin Can Increase Mass Crypto Adoption
Stablecoins are becoming more and more popular for processing transfers and hedging against volatility in the crypto market. Due to the reason that there is no stablecoin that was able to reach mass adoption, Facebook is planning to launch a digital asset that is expected to be reaching a large number of users in India and other countries in the future.
Facebook Coin Could Help Increase Crypto Mass Adoption
A new report released by Binance Research about the evolution of stablecoins that was released a few days ago shows the interest that large companies have in stablecoins. These firms are creating stablecoins in order to improve their payment systems or offer clients new reliable and fast services.
As per the report, new stablecoins created by firms such as Facebook could be very important for the payment and crypto industries since these two sectors could be disrupted. As per some rumors, the stablecoin created by Facebook could be used by WhatsApp users not only in the Indian market but also in other countries as well to perform cross-border transactions and local payments.
The report reads as follows:
“These non-financial companies (e.g.,Facebook or Samsung) are likely to be less risk-averse than traditional financial companies, and have greater incentive to disrupt the payments industry, with the added ability to execute at a faster, scalable pace.”
The report went on explaining that as a result, these firms could be growth drivers for the global payment and the digital asset industry. At the same time, the document says that there are critical shortcomings for stablecoins such as a central authority that will be controlling the coin at all times. Moreover, the blockchain is not immutable and users will have to provide their identity to be able to use the
At the same time, the project could help increase mass adoption for cryptocurrencies and other digital assets and contribute to the unbanking of the payment industry. There are different digital currencies that can be exchanged for stablecoins such as Bitcoin (BTC), Ethereum (ETH) or XRP, among others.
The report explains that the increase in stablecoin trading volume is related to the new number of altcoin pairs on the Binance platform. There are also many other stablecoins such as Gemini USD (GUSD), TrueUSD (TUSD), Pazos Standard (PAX) or USD Coin (USDC) that have also been growing over the last months. Tether (USDT), the most popular and largest stablecoin has been involved in some controversies that affected its credibility and users are searching for other solutions to be able to trade virtual currencies.