Meta shuts down crypto project Novi after Mark Zuckerberg unveils introduction of digital wallet for metaverse

Meta Platforms, formerly Facebook, has announced the end of its Novi cryptocurrency project. Users are advised to withdraw their funds as soon as possible. This announcement follows the introduction of a digital wallet for the Metaverse, announced by Meta CEO Mark Zuckerberg.

Meta, owner of Facebook, announced on Friday that its Novi cryptocurrency pilot project “ends soon“. According to its website:

Novi can no longer be used after September 1st.

In Friday’s announcement, Meta explains that starting July 21, users will no longer be able to add money to their Novi accounts.

Also, from September 1, the Novi app and Novi on Whatsapp will no longer be available and users will no longer be able to log in to their Novi accounts.

The company advised users to withdraw their Novi balances before September 1. Any remaining funds after this date will be transferred to bank accounts or debit cards on their Novi accounts.

From Novi to Metaverse Digital Wallet

Novi is a digital wallet that allows users to transfer money instantly and at no cost using cryptocurrencies, its website explains. Meta launched Novi in ​​beta last October with Coinbase as its custodial partner.

Novi account balances are held in USDP (pax dollar), a stablecoin issued by Paxos Trust Company, a regulated entity. Meta originally planned to use the Diem cryptocurrency, formerly Libra, for this service. However, the company ran into multiple regulatory hurdles and ultimately scrapped the project. In January, Silvergate Capital said it had “acquired the intellectual property and other technology assets related to the operation of a blockchain-based payment network from Diem Group (“Diem”).

Meta has accelerated its metaverse-related activities. CEO Mark Zuckerberg said last week that his company aims to attract billions of people to use the metaverse, generating massive revenue for Meta.

Mark Zuckerberg also announced on June 22 that Facebook Pay was becoming Meta Pay. Additionally, it unveiled a digital wallet for the metaverse. “Beyond the current features, we’re working on something new: a wallet for the metaverse that lets you securely manage who you are, what you own, and how you pay“, detailed the co-founder of Facebook.

Leave a Comment