One thing I’ve noticed in the flurry of news surrounding Libra Coin is sort of dividing the community into two groups, one that thinks that the entry of a big company like Facebook will boost the market, and the other saying that it is damaging to the market. I think it was Anthony Pompliano who said that the next major push for adoption would be triggered by a platform like Facebook or the arrival of big names - something like that. 

To be honest, I think both outcomes are likely to happen to some degree. 

First, if you’re a crypto investor, then you probably have a strong belief in the fundamentals of the market and believe it’s going to survive FUD and an onslaught of criticism from incumbent financial entities. Just look at how much Bitcoin has endured - it just gives one hope that the coins with purpose and value to them will survive whatever is thrown at them next. Facebook’s Libra Coin is not technically strong as Bitcoin. 

Second, Facebook has riled up so many governments with its decision to launch a crypto, and unlike Bitcoin, a stop can be put to it - so the former has that advantage. But let us assume that the arrival of Facebook means that big companies are interested in crypto, and I don’t think the social media company will be the last of the big names to launch its own crypto network.

I wouldn’t be surprised if other companies, or maybe Facebook itself, would reevaluate crypto and take a different approach a few years down the line. 

What Effect Could Libra Coin Have?

Here’s what I think is PROBABLY going to happen :) 

Facebook is going to attempt to go ahead with its launch trying to avoid all the hiccups that it can, which are mostly going to be regulatory. At the same time, if you believe in the fundamentals of the industry, you know that Bitcoin and certain altcoins will also go up in value. 

At some point, Facebook will release its token, with some modifications perhaps and this will have an impact on the market for sure. At this point, we become a little more speculative. I personally expect Libra Coin to bring more attention to Bitcoin, and consequently everybody - including lawmakers - may see Bitcoin as being the better alternative. 

If Libra Coin fails to take off, which is also a good possibility, then that too will give Bitcoin a boost.

As we get more news on Libra, and government responses as well, and as Bitcoin and altcoins mature, we’ll get a better sense of what impact Libra Coin might have.