The tin-foil-hatted nuts at BusinessWeek explain how and why Facebook will become the largest bank in the United States. (Perhaps most disturbing is the thought of a universal currency called ‘the zuckerberg’.)
Becoming a financial powerhouse would help Facebook avoid the fate of many once-popular networks. AOL, Friendster, Second Life, and MySpace all dreamed of growing forever, too. To survive, Facebook must become more than glorified e-mail. Sharing photos and gossip with friends might make Facebook hard to leave. But upload your checking account and Facebook may just be forever.
Nongamers may have missed Facebook’s clever foray into the world of “virtual currency,” where Facebook Credits cost 10 cents each and can be exchanged for game points or cartoony gifts. Those dimes are adding up—the U.S. market for virtual goods will reach $2.1 billion in 2011.