A new unit exclusively for financial services is being launched by Facebook to harmonize payment systems across its platform. Named Facebook Financial, this unit will be headed by seasoned e-commerce veteran and former president of PayPal, David Marcus, who joined the social media network six years ago.
Facebook Financial has been structured to handle all payments and financial services across the Facebook platform spectrum and create strategies for growth, proper management of all financial services is essential, as various payment features are present in a wide range of Facebook apps.
By bringing all aspects under Facebook Financial, the Silicon Valley behemoth can ensure that decision making, execution, and compliance are uniform and seamless across all units.
David Marcus is the best in-house choice to head Facebook Financial, in his stint with the company, he has been instrumental in creating the digital money network Libra. He leads the team that is building a digital wallet Novi that is customized for the digital currency.
Novi has been in the pipeline since the end of May 2020, being renamed and rebranded from Calibra to Novi. It has been a part of Facebook’s ambitious plans to step into the digital currency environment.
Facebook has been backing Libra, a digital payment system that will make it seamless for people to send and receive money from across the world. Libra is not in-house but will be run by a nonprofit organization. While other companies and organizations will be using Libra, Facebook is creating the digital wallet Novi mainly to store and exchange this digital coin.
Once Libra is available after all regulatory clearances, an early version of Novi will be launched in select countries. The Novi wallet promises to give Facebook Financial great opportunities to enable small businesses to buy ads on its platform, thereby letting Facebook expand its commerce and revenue exponentially.
However, it has not been smooth sailing for Libra for which the wallet Novi is being created. As soon as Facebook announced last year that it was designing cryptocurrency Libra and a payment system, the company faced a barrage of concerns and red flags from finance officials. Their main concern was the security and dependability of the private network.
Work on the Novi wallet.