One of the signs of the progress of cryptocurrency has been the interest that large firms have shown in recent times such as JPMorgan, AT&T and, of course, Facebook who is one of the most prominent in the field. Facebook made news around the crypto world and the general financial world when they released a white paper for their anticipated Libra token which is expected to hit the market in 2020 and became one of the most used cryptocurrencies in the world.
Even before it hits the market, Facebook has been working to contain with a number of regulatory issues by having to meet with bodies around the world to explain the implications of the token as well as clarifying its use and user privacy. Even while that is going on, Facebook-owned messaging platform WhatsApp is reportedly in talks with digital payment terms as well as a state-owned bank to launch digital payment services in Indonesia.
This was reported on August 20 , 2019, and according to the report. transportation booking service Go-jek, mobile payment services DANA, fintech startup OVO and state-owned bank Mandiri are among those in the development of the new digital payment services.
The Plans Ahead
The report also states that WhatsApp intends to support payments through digital wallets and will also serve as a test area for local regulations officially pertaining to the ban on foreign digital wallets ahead of the launch of Libra itself. While a Facebook spokesperson has confirmed that negotiations are taking place, they did not specify the project itself.
“WhatsApp is in conversations with financial partners in Indonesia about payments, however, the discussions are in early stages and we do not have anything further to share at this stage,” the spokesperson said.
Sources , however, state that the deal with the payment firms will be finalized soon while the launch of the platform itself is not expected until 2020 since WhatsApp is also looking to launch a similar service but is waiting for regulatory approval from India before wallet-based payment.
Facebook intends to implement the Calibra wallet onto their WhatsApp platforms but there will be the issue of places where cryptocurrency is banned such as India. This has been confirmed by a spokesperson who stated that the Libra blockchain will be global but custodian wallet providers will have jurisdiction over where they will not operate. As such, Calibra will not be available in countries that are sanctioned by the US or countries that ban cryptocurrency.