It was reported that Facebook’s cryptocurrency ‘Libra’ could debut this week and it is backed by Visa, Mastercard, Uber. Here are the 7 most important things you need to know about Facebook’s new cryptocurrency.
The cryptocurrency is powered by the Association’s native smart contract blockchain platform called Libra Blockchain. It is designed to be “secure, scalable, and reliable and it is going to be governed by a separate, independent body called Libra association.
Libra’s governing body, the Libra Association, is a non-profit based in Geneva:
The governing body will have 100 geographically diverse founding members. Current founding members include Visa, Mastercard, uber, booking.com and few others each investing a million dollar.
Only founding members will have access to the network:
Unlike Bitcoin, in case of Libra, only founding members will have access to the network. It will be based on a permitted blockchain but no single party will be able to unilaterally change the rules of the network.
Libra’s transaction amount, timestamp, and public blockchain addresses will be visible to the members only on the network. The Association will not hold personal data on people who use the blockchain.
Reserves will include the collection of “low-volatility” assets like bank deposits and government securities in currencies from central banks like USD, GBP, EUR, and JPY.
A lot was speculated about the tokens but it seems like, the crypto ‘Libra’ will issue a security token called Libra Investment Token. It will be only available to accredited investors as securities and the holders can also earn good profits from interest on the reserves.
Launch in 2020:
The crypto will officially launch next year, in 2020. The testnet will be released in the coming weeks, developers will have access to it including the bounty program to dig out the bugs.
Via: The Block Crypto