Meta to Answer US Committee Over Crypto Plans

Social media giant Meta has to answer the United States House Financial Services Committee over its plans to integrate cryptocurrencies and blockchain-based tokens on its platforms, Facebook and Instagram. 

Committee ranking member Maxine Waters sent a letter to Meta founder and CEO Mark Zuckerberg and operating chief Javier Olivan, questioning the company’s plans regarding digital assets. 

Meta Execs Questioned Over Crypto

In the letter sent to the Meta executives on January 22, the Congresswoman referenced the trademark applications filed by the tech firm on March 18, 2022, stating that the filings “appear to represent a continued intention to expand the company’s involvement in the digital asset ecosystem.”

Working on Digital Assets

Waters, who is currently the United States representative for California’s 43rd congressional district, said the trademark applications show that the $980 billion-dollar company is working on digital assets despite telling Democratic Financial Services Committee staff on October 12, 2023, “that there is no ongoing digital assets work at Meta.”

As reported earlier, the company has decided to allocate 20% of its 2023 budget toward its metaverse business.

Meta and Crypto

Meta has had a complex relationship with digital assets and abandoned its plans to debut a stablecoin called Diem (formerly Libra) after selling it to the now-bankrupt crypto firm Silvergate Bank. 

It is important to note that the company’s trademark filings from March 2022 refer to various services for crypto and “blockchain assets” trading, exchange, payments, transfers, wallets, and the associated hardware and software infrastructure.

Notice of Allowance (NOA) for Each Filing

The tech giant has received a Notice of Allowance (NOA) for each of its trademark filings, and the company has around six months to either file a statement that it will use the trademark or request a six-month extension to file the statement.

Waters questioned Meta about how it will respond to the NOAs if the firm plans to debut Web3, crypto, or digital wallet services. It is important to mention here that Meta has also invested heavily in the metaverse and suffered losses worth $3.7 billion in Q2 2023.