Cathie Wood thinks Facebook’s payment platform and currency will be as successful as Facebook Messenger was… (i.e. Not Very)
The growing buzz around Facebook Inc’s (NASDAQ:FB) Novi wallet has not escaped the notice of Cathie Wood-led Ark Invest, which expounded on the struggles of both Novi and the associated cryptocurrency Diem.
What Happened: Ark analyst Max Friedrich observed in Ark’s latest newsletter that Novi plans to go-to-market with free person-to-person payments available within the United States and abroad.
The analyst also took stock of further expansion plans to be ushered in on reaching a scale that includes offering financial products and services. “Plans perhaps easier in theory than in practice,” the analyst wrote on Facebook’s efforts.
Backing his argument, Friedrich cited the example of Facebook Messenger, which offered free person-to-person payments without sizable success in the U.S. and other countries.
The analyst also touched on Facebook-backed Diem cryptocurrency.
“We believe Novi probably should launch Diem not in well-developed payments markets but instead in the cost-prohibitive remittances markets between developed and emerging currency corridors.”
Why It Matters: Last week, Diem co-creator and head of Facebook Financial David Marcus, refueled the buzz around the social media giant’s cryptocurrency foray, saying that Facebook is looking at ways to enter the NFT space.
See Also: NBA Legend Stephen Curry Pays Big Bucks For Ethereum Bored Ape Yacht Club NFT
“When you have a good crypto wallet like Novi will be, you also have to think about how to help consumers support NFTs,” he said at the time.
[https://markets.businessinsider.com/news/stocks/facebook-has-set-big-ambitions-for-digital-wallet-but-ark-says-plan-looks-easier-in-theory-than-practice-1030768909](https://markets.businessinsider.com/news/stocks/facebook-has-set-big-ambitions-for-digital-wallet-but-ark-says-plan-looks-easier-in-theory-than-practice-1030768909)
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