Facebook has released today Libra Whitepaper regarding everything we need to know about Libra project.
Facebook defines Libra as:
"A simple global currency and financial infrastructure that empowers billions of people."
Regarding this statement they pretend to:
"Reinvent money. Transform the global economy. So people everywhere can live better lives."
It is widely known that a long time ago Facebook is trying to "enter" cryptocurrency world by the big door so, in order to succeed they have heavily invested time and a huge amount of resources into building what we know today as Libra.
Libra is made up of three parts that will work together to create a more inclusive financial system:
- It is built on a secure, scalable, and reliable blockchain;
- It is backed by a reserve of assets designed to give it intrinsic value;
- It is governed by the independent Libra Association tasked with evolving the ecosystem.
So what we have in here is: Libra cryptocurrency will be built on the “Libra Blockchain"...yes their own blockchain; it will be backed up by a reserve of assets so it will be a stablecoin and will be governed not by Facebook itself else by the "independent" Libra Association...that's all it takes: that's Libra after all.
Facebook stated that:
"A basket of bank deposits and short-term government securities will be held in the Libra Reserve for every Libra that is created, building trust in its intrinsic value. The Libra Reserve will be administered with the objective of preserving the value of Libra over time."
...so Libra as a crypto unit asset will be backed by real assets turning Libra coin into a stablecoin...pretty nice but not what every people was expecting to hear because after a lot of discussion over the last few months and a huge amount of speculative content over the whole Internet people were expecting a regular crypto asset, perhaps with hope put into the idea of a "new Bitcoin" or at least, a new crypto coin competing with Bitcoin.
Libra Blockchain - An Open source Software Platform
Facebook notes that Libra Blockchain will be kept open-source. It means that developers and organizations can build their own financial services on the Libra blockchain thereby establishing a completely interoperable ecosystem.
The Libra Blockchain is designed using the “Move” programming language and a Byzantine Fault Tolerant (BFT) consensus approach. “Move” is a new programming language that can implement “smart contracts” and custom transaction login on the Libra Blockchain.
The Libra Association
The Libra Association will be the governing entity of Libra project and it is an independent, not-for-profit membership organization, headquartered in Geneva, Switzerland. It will have as main goals:
- Facilitate the operation of the Libra Blockchain;
- Coordinate the agreement among its stakeholders — the network’s validator nodes — in their pursuit to promote, develop, and expand the network, and to manage the reserve.
The Whitepaper notes that the Libra Association membership is formed through the network of validator nodes which operate the Libra Blockchain. All the members shall be geographically distributed across diverse business verticals.
Facebook has also named some of the “Founding Members” of the Libra Association which includes some wide known popular organisations: Visa, MasterCard, PayPal, Lyft, Spotify AB, Uber Technologies, the Vodafone Group, Booking, Coinbase, etc.
Facebook plans to launch the Libra Blockchain in the first-half of 2020 with at least 100 founding members on-board.
For now they have let know that they are building the first Digital Libra Wallet ever calles Calibra and that will be integrated with Facebook Messenger.
So here we are: after Messenger decides to launch his TON Network we have Facebook launching soon it's Libra Blockchain...I thinks it is time for Internet giants to get theirs hand dirty into the world of cryptocurrencies...perhaps we will have some news from Amazon or Google maybe? Sooner or later it will be so stay focused, stay informed and more than anything: keep your pockets full and ready...there are more cryptocurrencies to buy on the road!!!