Instant messaging app Signal is seemingly channeling resources towards enacting a crypto payment system for its users.
In a is considering integrating cryptocurrency payments into its app.
As per a report by Casey Newton, founder of technology newsletter service Platformer, Signal seemingly ran pilot tests for MobileCoin – a token backed by Binance. The CEO of Signal, Moxies Marlinspike is part of the MobileCoin project team, serving as an adviser. Her position in MobileCoin increases speculation that the test could be an experiment for subsequent deployment in the privacy-focuses messaging app.
According to the report, Marlinspike has toned down the rumours/speculations, describing the tests as “design explorations” noting that. “if we did decide we wanted to put payments into Signal, we would try to think really carefully about how we did that. It’s hard to be totally hypothetical.
Nevertheless, Casey notes that former employees of Signal said the company is actively looking to integrate MobileCoin into the messaging platform. Earlier this month, MobileCoin in an attempt to straighten out its relationship with Signal said:
To be clear MobileCoin is very much not Signal. We’re fans of their work but we are not them. Moxie advises us but Signal is a fiercely independent non-profit. We would love for them to use the tech we made but the choice is theirs and theirs alone.
— MobileCoin (@mobilecoin) January 16, 2021
If this is true, then Signal would become yet another messaging platform to engage cryptocurrency payments in its service. Facebook has made attempts with its Diem (formerly Libra) project and are currently making modifications to it after encountering serious criticism from regulators worldwide.
Firms are concerned about the regulatory blind spot caused by the migration of traders from WhatsApp to Signal. Integration of a privacy coin on the latter could put the spotlight of regulators on the app.
Signal now has more than 40 million users, up from approximately 20 million last month – an increase most largely attributed to distrust among users regarding Whatsapp’s recent privacy policy.
