META recently declared discontinuing its digital wallet pilot project — Novi. Since the project’s inception, it has attracted a lot of public reviews.
Just nine months after launching its trial program for digital wallet payments in November 2021, Meta announced its intention to end it. The Nobi app, along with Nobi on WhatsApp, won’t be available.
When Does Digital Wallet Novi Officially Shut Down?
According to the website Novi, the digital wallet Novi will discontinue on September 1, 2022.
Additionally, users won’t be able to deposit funds into their Novi accounts after July 21, 2022. Any money still on Novi can be withdrawn by the end of September.
User accounts won’t be available after the platform shuts down. This news claims that the crypto industry consists of lots of uncertainty.
Origination of Novi Wallet Concept
The Novi concept was proposed three years ago, along with Calibra and a stablecoin called libra. Later it was renamed Diem.
Novi was a part of Meta’s large-scale cryptocurrency investment plans. Firstly, Novi was released as an app in October 2021, and a few months later, it was incorporated into WhatsApp.
Nevertheless, Novi was only ever introduced in the US and Guatemala. Read this topic on how Meta Company can make users spend more time watching videos on Instagram.
Why Did Meta Declare to Quit Novi Shortly?
Soon after the introduction of the Novi project in October 2021, members of the US Senate urged Meta to halt it, claiming that the corporation is not trustworthy in managing cryptocurrency.
David Marcus, who oversaw Meta’s cryptocurrency initiatives, left the company a month later.
After Diem sold its assets at the start of this year, the project ended.
In the same way, the Russia-Ukraine war has had a significant impact on Meta’s revenue growth. We can describe this as a black swan event.
This negative global geopolitical situation and inflation, aggravated by the war, have hurt the company’s stock price.
Conclusion
Meta quitting on digital wallet Nobi doesn’t mean that Meta is giving up on creating its digital wallet.
As it works towards “creating the metaverse,” Meta will use the technology developed in collaboration with the project “on new goods, such as digital collectibles.”
