Meta, the parent company of Facebook and Instagram, has hired Ginger Baker, a former executive at the Stellar Development Foundation, to lead the transformation of Meta Pay into a “decentralized-ready wallet” that will support stablecoin payments.
The move, which was announced on Thursday, comes as Meta is looking to expand its presence in the metaverse and Web3. The company has been experimenting with blockchain technology for several years, and it recently launched a pilot program for a digital currency called Diem. However, the project was later shut down due to regulatory pressure.
Stellar is a blockchain network that is known for its low transaction costs, fast transaction speeds, and compliance-focused design. The network is also home to a rapidly expanding ecosystem of companies and developers building decentralized financial applications (DeFi).
"Everyone knows Stellar is designed for compliance, with its architecture supporting regulated stablecoins and enabling features like KYC, sanctions screening, and transparent on-chain reporting," the post continues. "This aligns perfectly with Meta's need to stay in regulators' good graces, especially after its Diem project was shut down under pressure."
Stellar is also uniquely capable of handling small, global micro-payments, a critical factor for enabling a vast creator economy.
"For example, sending USDC over Stellar costs a fraction of a cent and settles in seconds, making it ideal for tipping or revenue-sharing at the scale Meta operates," the post explains. "This stands in stark contrast to Bitcoin's high fees and slow speeds, which would render such use cases impossible."
The Stellar network is now equipped for production-ready use cases, with companies like Franklin Templeton and Airtm already integrating Stellar for asset tokenization and cross-border payments at scale. This stands in direct opposition to testnet activity, which isn't suited for the magnitude of Meta's user base.
"The announcement comes as no surprise, given that we've previously highlighted the possibility of a partnership between Meta and Stellar," the post concludes. "While neither company has officially confirmed a partnership, the executive link speaks volumes."
