Facebook’s stock is seeing gains as the company prepares to announce a foray into the world of cryptocurrency.
The tech giant has reportedly partnered with companies including Visa, PayPal, and Uber to create the virtual currency known as Libra. Although the company has been largely mum on details, the project will allow users of the social media network to pay for goods and send money through apps like WhatsApp and Messenger.
“We believe this is a major initiative for Facebook, and one that has the potential of putting the company front and center in areas beyond advertising, including commerce and financial services, materially expanding its total addressable market and growth prospects,” SunTrust analysts said, according to CNBC.
Almost every cryptocurrency, including Bitcoin and Ethereum, rose in value Monday in reaction to the new digital currency. Facebook’s stock rose more than 4% Monday.
The project is being headed by Facebook executive David Marcus, who was the president of PayPal prior to joining Facebook.
The planned announcement comes as Americans continue to grow increasingly nervous over the influence that Facebook wields. A Fox News poll released Monday found that 61% of voters say that the company has too much power.
