Social media and metaverse company Meta, formerly Facebook, is closing down its Novi digital wallet later this year, on the 1st of September. The imminent closure comes almost a year after it was launched by Facebook, now Meta.
The announcement detailing the imminent closure can be seen on Novi’s website. “The Novi pilot is ending soon. Novi will no longer be available for use after September 1. Before Novi goes away, we’ve made it easy for you to get your remaining balance and download your Novi information,” the website says.
As seen on the website, Meta advises users to withdraw their remaining balance on their Novi accounts before September 1st. According to the step-by-step information provided by the company, people can transfer their balance to either their bank accounts or withdraw it as cash where applicable. “It’s important that you withdraw any remaining balance in your Novi account before that date. You can choose to transfer your Novi balance to your bank account or withdraw it as cash where applicable,” the website says adding that people in the US and Guatemala can quickly transfer to their bank accounts or withdraw as cash where applicable and for users in Guatemala only, they can visit a physical location and make a withdrawal with a government-issued ID.
After September 1st, users will be unable to access their Novi accounts. They also will be unable to access information such as their transaction history.
Novi was released by Meta last year October in beta testing. It had the help of crypto exchange Coinbase which acted as a “custody partner” for the project, providing digital storage and security technologies that let the Novi app secure people’s assets. Meta advertised Novi as an easy way to send and receive money thanks to the cryptocurrency Paxos Dollar (USDP) stablecoin.
The company had plans of issuing and accepting Diem cryptocurrency (a project it is affiliated with) on its Novi wallet but this didn’t come to fruition as the Diem cryptocurrency project bit the dust after several regulatory battles.
The latest development comes amid the crypto market uncertainties that have also led the collapse of some stable coins which were believed to be untouchable because they are pegged to a fiat currency.
The Novi website also provided information on how users can download their user information. “If you would like to keep a copy of your transactions and activity on Novi, you can download that information within the Novi app settings. After September 1, 2022, you will no longer be able to log into your Novi account and you’ll lose access to that information,” the company wrote.