Binance in talks with Facebook regarding Libra

The world’s largest cryptocurrency exchange by trading volumes, Binance has been in discussions with Facebook regarding its upcoming crypto project –Libra as reported by the Finance Magnates.

Gin Chao, the chief executive officer of Binance in an interview stated:

“We have had an official dialogue with Facebook. With regarding to listings specifically, right now they are going to be on a so-called ‘private chain.’ So that means they won’t be looking for external liquidity. However, from what we understand the potential to be, that would lead them to wanting a secondary market. Currencies benefit from a secondary market, so it would be in their best interest to want to be listed,”

In light of the fact that negotiations are still in the early stages, discussions at this point are around infrastructure. Furthermore, Binance has stated that it may consider listing Libra once it goes public and gains traction as per comments from the CTO. Chao also believes that Facebook will inevitably list its stablecoin on other major crypto exchanges.

He added:

“It wouldn’t just be in [Facebook’s] interest to list their coin on our exchange,” said the Binance strategy officer. “It would also be in their interest to list on other exchanges as well and that’s probably going to happen. So once they go on a public chain, and they get the sort of adoption that they could get, we would probably want to list them.”

In another report from CryptoPotato, another crypto news outlet, which also spoke to Chao at an event in Tel Aviv, he further recommended that Binance may support the Libra blockchain by acting as a permissioned node that validates transactions.

Facebook is purportedly set to have as many as 100 nodes and has already signed up big players such as Uber, eBay, Visa and Mastercard, just to name a few.

Chao, while generally speaking about Libra stated:

“It’s a good thing, for sure. Any time a company with the weight, size, resources, and impact of Facebook gets involved, it validates both blockchain and [cryptocurrencies]. So whether or not Libra becomes incredibly successful, it’s already a good thing.”