Social Media giant Facebook’s foray into the blockchain industry continues. In a recent interview with Bloomberg, Spencer Bogart, a partner at Blockhain Capital explained that he believes Facebook has ‘’lit a fire’’ beneath the crypto markets that will ultimately propel them higher. Bogart stated that in light of the speculated “bottom” of the cryptocurrency market being reached, several catalysts are on the horizon. One, in particular, is the Facebook Coin project, which he described as “the elephant of the room.”
Bogart confirmed that he thinks Facebook Coin — whether it will be a stablecoin or a different kind of crypto asset — will act as a stepping stone, introducing the masses to the idea of cryptocurrencies. He explained that once people own Facebook Coin:
“It’s like being on the internet; so people can spin out and they can start owning bitcoin, they can start owning ether. Some percentage of the user base is likely to do so, and again I think that’s gonna be a dramatic catalyst.” Using the phrase “gateway drug,” Bogart stressed that Facebook’s adoption push will introduce billions to the virtual currency market.
“Facebook is significant from a global scale perspective, and even if a small percentage of those users trickle into crypto, we’re going to see a doubling or a tripling in the users base of crypto over the next couple years.”
When considering the large number of people that market giants like Facebook could introduce into the relatively small crypto markets, it is not unreasonable to conclude that the company’s foray into the markets is decisively bullish.