On July 1, Meta announced the shutdown of its digital crypto wallet, Novi Pilot.
If you have a balance in your novi wallet, you must withdraw your remaining novi balance by September 1.
You can attempt to transfer digital currencies to your bank account or debit card without any exchange rate. After that date, you will not be able to access your Novi app or account.
Meta cryptocurrency digital wallet
Facebook has a long history of developing payment systems for blockchain-based stablecoins, such as Paxos or Coinbase.
After a year of planning on creating a digital wallet, Facebook's money transfer service, Libra, was finally successful.
However, it faced legal challenges concerning the name and logo. It came under heavy criticism from many digital payment service partners (including PayPal, Visa, Mastercard, and eBay).
They all pulled out of the project just a few months after it was announced. The Libra association was rebranded as Diem, and Facebook became a member of the Diem association.
Is Diem now known as Novi?
As a US-based stable coin transfer exchange platform, Novi began its journey by itself.
On the other hand, Diem is still waiting for regulatory approval and hasn't launched in many countries yet.
According to the founder of Diem,
Novi will still serve as a financial advisor like Diem did.
The company aims to complete transactions digitally, efficiently, and faster. Since it lets you add money from multiple sources, people use it for remittances. The name Libra didn't seem appropriate once they began offering the services, so they changed it to Nobi.
Facebook doesn't have an internal payment service or digital wallet like Google Pay or PayPal. The company struggles to stop censored trolling, threatening privacy and data security.
Novi Pilot is shutting down.
It does not sound good for us that Meta is shutting down the digital wallet service, Nobi. Since then, many of us have used it as a crypto wallet. Now, its users must withdraw their remaining balance from the cryptocurrency digital wallet novi.
Members of the United States Senate have urged Meta to suspend its Novi project shortly after its October 2021 launch.
They claimed that their services were untrustworthy for managing and storing cryptocurrency.
A couple of months later, some of its employees, including David Marcus, the head of Meta Skip the Currency Project, left the company.
Diem, on the other hand, completed its project and sold the platform's assets for approximately $200 million.
However, the end of Diem does not mean that Meta will stop serving or abandon its plans to create its own digital wallet.
Meta stated that they are using technology to create new products like digital collectibles in order to build the metaverse.
Meta has already begun testing NFTs, and their platform has recently added support for NFT creators.
There is no specific reason for Meta's shutdown. Since then, stablecoins have drawn criticism as the crypto market has experienced an overall downtrend.
Meta CEO Mark Zuckerberg, on the other hand, has remarked at the creation of a digital wallet in which users can store their clothing, art videos, music, virtual events, and other items.
This wallet can be used to access the metaverse. However, this concept first arisen to Mark Zuckerberg shortly after NFTs became a popular trend in recent years.
Users can "anticipate to see some more of us in the web3 space because we are very enthusiastic about the valuation these technologies can bring to people and businesses in the metaverse," said the Facebook creator .
Web3 is assumed to be the internet's next phase, a decentralized web based on blockchain technology.