According to recent news, the secret cryptocurrency division of Facebook acquired a blockchain startup that is specialized in the development of smart contracts. 

Financial news outlet Cheddar just reported that, according to unnamed sources, Facebook quietly acquired Chainspace, a blockchain firm founded by University College London researchers.

Founded in 2018, The Chainspace platform is powering a community of makers. Makers are committed to building decentralized services that allows everybody to have greater ownership and control of how we interact with the digital world.

A banner at the top of the website reads:

“We’re excited to announce that the team is moving on to something new. Chainspace code and documentation will still be open source, and all previously published academic work remains available.”

Asked about the acquisition, a Facebook spokesperson said:

“Like many other companies, Facebook is exploring ways to leverage the power of blockchain technology. This new small team is exploring many different applications. We don’t have anything further to share.”

The rumors of Facebook moving into the cryptocurrency and blockchain space have been going on for a while now. In December, Bloomberg already reported that social media giant Facebook is currently developing its own stablecoin for money transfers via its popular messaging app Whatsapp.

The company has been tight-lipped about what the project will exactly entail, but sources told Bloomberg that the service will launch first in India.

The move by Facebook would not be strange, since other global messaging applications, such as Kakao, LINE, and Telegram, have already revealed plans to move into the blockchain space.

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