Facebook Currency soon to be launched

Social networking is becoming monopolised, literally. If you are a regular user of the most popular social networking site Facebook you may well be interested to learn that it has recently been confirmed that they are to partner with a Malaysian company to deliver virtual currency for Facebook across Asia.

This move has been fronted by tycoon Vincent Tan and is available in around 50,000 retail outlets across Asia. This move could lead it to becoming the default online currency, rivalling leaders such as PayPal.

This new service will now enable those who do not have a credit card to purchase Facebook credit, at stores like 7-Eleven, to buy things like gifts and games. This will obviously be a great way for app developers to boost sales revenues at the same time.

Depending on its success we could see the new Facebook currency work its way across the globe. It’s particularly interesting that they launch this new service in a region which is largely anti social networking with the outside world (China/North Korea etc).

Maybe they want to tackle to tough target markets first before a global launch? Other reports are suggesting that the Asian release is a Beta trial of the new online credit system.

Popular games such as FarmVille and Mob Wars will be included in the list of compatible titles which will accept Facebook’s virtual currency. If you are a fan of these games then prepare to become even more addicted.

The credits will be primarily aimed at the virtual goods market, particularly interesting that Google recently invested $100 -$200 million into Zynga recently to bring out Google games. Zynga, has had great success after delivering hits on Facebook, with games such as Farmville, Mafia Wars and FrontierVille. These games supposedly have raised an approximate amount of half a billion dollars in capital funding, including $150 million from Softbank Capital.

Reports are also suggesting that eventually the virtual credits could be used to purchase tangible goods and services. Industry experts said it could provide big opportunities for brands to offer transactional services on Facebook and throughout the entire web via Facebook Connect. This will create a uniform method of payment with minimal friction across multiple platforms.

Accounts can be topped up with any card and charge a merchant 30% commission. Many app developers have been unhappy with this rate claiming Facebook’s 70/30 split will be taking a huge chunk of the social networking market. In addition Facebook have stated that they will be shutting the Faceboook gift shop to pave way for the new credit system.

Do you think Facebook’s virtual currency is a good step forward for the social networking community or not? We want your opinions!