There have been reports recently that Facebook is looking to give competition to PayPal by introducing its own e-money service. As per a report by Financial Times, Facebook is undergoing approval process to initiate the real money transfer among millions of Europe users. It won’t be long before Facebook starts its proper operations in Ireland. According to a source close to Facebook, users will be able to store real money and link them with their social accounts and then use it to make purchases on the web using a smartphone.
To start off with, Facebook will tie up with several UK based firms like Azimo, Moni Technologies and TransferWise for app-based transactions. What is Facebook looking to achieve here? It seems that the company is making attempts to create a financial system where the use of credit cards could be eliminated. Since, e-money and e-commerce are on the high at this point of time, it is only great for the social networking giant to pull up the socks and get that done.
We cannot really say if Facebook will gain the trust of the users in storing the real money knowing that the company has failed in the past with its own virtual cuurency. What’s your take?
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