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Facebook's Calibra cryptocurrency wallet launches in 2020

Facebook's Calibra cryptocurrency wallet launches in 2020

19 Jun, 2019

Facebook plans to form an official subsidiary named Calibra, which will create a digital wallet for Libra, Facebook's stablecoin cryptocurrency. The Calibra wallet will be available in messenger, WhatsApp and as a standalone app. The social media giant expects Libra and Calibra to launch in 2020, according to a press release.

With the wallet, users will be able to send money, buy items or pay bills with Libra. Facebook believes this tool will help serve the underbanked.

"For many people around the world, even basic financial services are still out of reach: almost half of the adults in the world don't have an active bank account and those numbers are worse in developing countries and even worse for women. The cost of that exclusion is high — approximately 70% of small businesses in developing countries lack access to credit and $25 billion is lost by migrants every year through remittance fees," according to the release. "This is the challenge we're hoping to address with Calibra, a new digital wallet that you'll be able to use to save, send and spend Libra."

Marcus said Calibra is a natural expansion of Facebook's master plan to keep connecting people around the world. "You now have the ability for everyone on the platform, and across all of our apps, to transact with one another in a frictionless way," he said, emphasizing that this is going to unlock new opportunities for small businesses, as it will be easier for people to move money around on the Facebook network. But first, Marcus knows it'll have to earn people's trust in order for Calibra to be their digital wallet of choice, otherwise they'll have other options from Libra partners.

"The nice thing [with Libra] is, you don't have to trust us. Even if you really don't want to trust Facebook, you can use any of the other wallets," said Marcus. "Even if you don't trust us with the governance of this thing, by the time we launch, we'll only have 1 percent of the vote, so it's not like we can mess things up, even if we wanted to at that point."