Facebook’s jump into cryptocurrencies is another “nail in the coffin” for traditional banks, according to deVere Group CEO and founder Nigel Green.

Green’s comments come after the social media giant this week set out details of Libra, its own digital currency, due to be launched next year.

Green affirms: “Facebook’s launch into cryptocurrencies tells us two things.

“First, the role of traditional banks will decline at a quicker rate than many had previously predicted. Facebook’s Libra cryptocurrency will be able to transact across traditional payment rails. They have partnered with PayPal, Mastercard, Visa and Stripe, amongst others to fuel merchant acceptance of the digital currency.

“If you have cryptocurrency on these payment methods, the purpose of and use for traditional banks will surely shrink.”

The deVere CEO highlighted that fintech solutions and cryptocurrencies are already taking business away from banks. The digital solutions are “filling a gap” left by the traditional way of doing things as the “world speeds up and becomes increasingly globalised and digitalised”.

“The jump into cryptocurrencies – which are the future of money – by Facebook which already has 2.7 billion users can really only be seen as another nail in the coffin for banks.”

The second thing it tells us, according to Green, is that tech giants entering the cryptocurrency market indicated that digital money, as a concept, is “fully mainstream and inevitably the way the world is going”.

Green concluded: “This is a major development in the crypto-verse and it is surely just the beginning. This is set to revolutionise how people access, manage and use money across the world and it will positively disturb the wider banking sector. Banking as we have known it until now is coming to an end.”

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