The firm's move aims to increase its lead over Twitter in advertising revenues.
Reports say that Facebook is all set to incorporate Twitter's well-known hashtag feature.
It also being seen as a bid by Facebook to take on Twitter on its home turf.
Instagram, acquired by Facebook last year, has already been using hashtags.
According to Wall Street Journal, people familiar with the matter said they do not yet know how much Facebook has progressed on its work on the hashtag and do not see it being introduced anytime soon.
The hashtag has been a popular form of expression for Twitter users since it was first introduced on the social networking site in 2007.
It was reportedly suggested by Chris Messina, a developer advocate at Google.
While Facebook connects people across the globe, its rival is said to be the real-time broadcasting device for the world.
Market research firm, eMarketer, forecasted that Twitter would generate an advertising revenue of $500m in 2013, compared to Facebook's $4.3bn last year.