Let’s say Facebook opens a bank.
Facebook’s bank (Facebank?) works just like any other bank.
Would you want a Facebook bank account?
Look at it this way – a Facebook bank would be an immediate financial success from day one.
It would also no doubt be the biggest customer focused bank in the entire world. A hundred million, or even 200 million customers across the globe, which is somewhere between 10% and 20% of Facebook’s users.
This would make a Facebook bank bigger than Bank of America AND Wells Fargo combined in terms of actual customers.
P.S. Would a Facebook bank base your credit rating and consideration for loans around the company you keep? Would it reduce defaults on loans? There’s nothing stronger than peer pressure.