Meta (Facebook) will shut down the social media company’s digital wallet payments pilot project Novi on September 1.
Thus, the company’s three-year-long stablecoin Libra experiment also ended in complete failure.
Facebook Requests Users of Cryptocurrency Wallet Novi to Withdraw Their Assets Immediately
Meta announced the news on the service’s website, sending out an announcement link urging users to withdraw their money from the platform “as soon as possible”. From July 21, users will no longer be able to add funds to their accounts. Novi’s WhatsApp account and Novi application will also become unusable. Once the pilot is over, users will not be able to access their transaction history and other data.
Originally called Calibra, Novi is for Facebook’s Libra stablecoin (later renamed Diem), which appeared in June 2019. cryptocurrency It was used as a wallet.
As the regulatory pressures forced the stablecoin project to change its course, it caused the Novi wallet to lose its function in this regard.
The Novi wallet was used as a pilot for crypto-based money transfers in 2020, but failed to expand outside the US and Guatemala.
“We Will Continue to Use Blockchain Technology”
While Meta has decided to end the Novi pilot project, the company said it plans to reuse this technology for future products, including its Metaverse initiative.
The company stated the following in its statement:
“We use our years of working on our developer talent to launch new products like Blockchain and digital collectibles. You can expect to see more of us in the Web3 space because we are very optimistic about the value these technologies can bring to people and businesses in the Metaverse.”
In addition, the company is exploring options for NFT support on their website.
Meta had backed out from its stablecoin plans after facing backlash from regulators over its ability to combat money laundering, protect consumers, and monitor other security and financial risks.
*Not investment advice.