IT Home July 2, Meta Platforms has announced that its Novi pilot—a transfer service that uses the company’s own cryptocurrency digital wallet—will be closed on September 1.
Novi previously used Meta's own cryptocurrency digital wallet to provide money transfer services, applying Novi related technologies to the metaverse and other products. Foreign media pointed out that Meta's cryptocurrency project once caused Mark Zuckerberg to be attacked in Congress, so it decided to shut down the remainder of the project.
IT Home learned that a Meta spokesman said the company does plan to use Novi's technology in future products, such as in its original universe project.
Meta means that both Novi applications and Novi on WhatsAppp will no longer be available. Novi said that starting July 21, users will no longer be able to top up their accounts and recommended withdrawing balances “as soon as possible”. After the test period ends, users will not be able to access their transaction history or other data.
Meta said in a statement: "We have used years to build capabilities for Meta on the blockchain and launched new products such as digital collections." "You can expect us to see more in the web3 space because we are very optimistic that these technologies can bring value to people and businesses in the metaverse."
Last October, Meta launched a Novi pilot in an attempt to break into or even dominate the crypto remittance space. Novi uses Paxos Trust Co.'s USDP stablecoin to allow wallet users in the U.S. and Guatemala parts of instead of a new Diem token that Meta once supported. Coinbase Global Inc. is responsible for protecting these funds.
Because the company launched "Libra" without regulatory approval, Zuckerberg had been trying to dispel concerns about him in 2019 when he testified in Congress.
At present, Meta's ambition for Novi is fading, and the crypto market boom is also declining, while key companies such as Celsius Network and Three Arrows Capital are also facing difficulties in liquidity.
