Facebook Acquires Blockchain Startup Chainspace

Chainspace

According to financial news outlet Cheddar, Facebook has acquired a blockchain startup called Chainspace.

Another move for the tech giant into the cryptocurrency space perhaps?

Chainspace

Founded by University College London researchers, the Chainspace blockchain describes itself as “a planetary scale smart contracts platform” and is comprised of a “distributed web of blockchains for scalability, speed, and privacy.”

According to its website, the company says that it is excited to be “moving onto something new.” Assumedly this is its new venture with Facebook.

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Facebook Acquires Chainspace?

Facebook has confirmed that it has hired former Chainspace employees into its blockchain division. However, this is all it will divulge at the moment. Facebook usually plays its cards very close to its chest, so we don’t know much more:

“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.”

It could be very plausible that Facebook wants the team behind Chainspace and not the platform itself. The acquisition was, according to Facebook an acqui-hire and a company spokesperson has reportedly denied that the company acquired Chainspace technology.

Facebook Stablecoin?

The company remains tight-lipped about any crypto project in development. However, that hasn’t stopped analysts from guessing. The most reached consensus is that Facebook is developing its own fiat-backed stablecoin, which will let users send money via its WhatsApp messaging app.

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Though nothing is certain, the tech giant has been hiring blockchain developers in their droves. It currently has around 40 employees working on this upcoming crypto project, the initiative being led by David Marcus.

Marcus is the head of Facebook Messenger and is a former Coinbase board member. He hinted at the project in 2018 when he stated that Facebook had formed a group “to explore how to best leverage blockchain across Facebook, starting from scratch.

What do you think of Facebook’s Chainspace acquisition? Do you believe it only wants the team and not the tech?

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