The social media giant Facebook has quietly made its very first acquisition in the field of blockchain technology. The company has hired a startup which has specialized in building decentralized smart contracts system for facilitating payments.

Facebook Dives Deeper Into Blockchain

According to financial media Cheddar, Facebook has made a move which the Silicon Valley regards as an “acqui-hire”.

The company hired a blockchain startup called Chainspace which is specializing in creating decentralized smart contracts system which is intended to facilitate payments and provide other services based on blockchain technology.

The media outlines that this could signal that Facebook is looking for a solution to speed up its transactions using blockchain technology. Cheddar reports that a Facebook spokesperson has confirmed the move.

Speaking on the matter, the spokesperson revealed:

Like many other companies, Facebook is exploring ways to leverage the power of blockchain technology. This new small team is exploring many different applications. We don’t have anything further to share.

Facebook’s Move Towards Blockchain

In May 2018, Facebook launched a new team which was dedicated to blockchain technology. The group was headed by David Marcus who, until then, was running the company’s standalone messaging application – Messenger.

Naturally, the notable move of the company back then quickly got different experts speculating on what the social media mogul could use the technology for.

According to some, the implementation of blockchain technology could essentially provide users with more control over their personal information. It could also provide them with the ability to set certain permissions regarding the type of data the social network the website is able to store.

Additionally, it could also facilitate micropayments, hence making it a viable implementation for WhatsApp – the messaging App Facebook acquired in a whopping $19 billion deal.

What do you think about Facebook’s involvement in the field of blockchain technology? Don’t hesitate to let us know in the comments below!

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