FACEBOOK'S LIBRA CURRENCY

FACEBOOK'S LIBRA CRYPTOCURRENCY

The Giant Social media Facebook has released the white paper for its cryptocurrency and block chain-based financial infrastructure project in June 18. Facebook confirmed some long-running rumors by announcing that it’s about to dive into the world of cryptocurrency. That cryptocurrency is called Libra, and it’ll launch next year alongside a digital wallet called Calibra and Calibra will be a subsidiary of Facebook.

According to the paper, Facebook’s global stable coin, Called Libra will operate on its own Libra block chain, and be backed by a reserve of assets ostensibly which designed to give it intrinsic value and better volatility fluctuations.

These assets consist of bank deposits and short-term government securities that will be held in the Libra Reserve for every Libra that is issued.

The Website and the digital Wallet for asset is calibra.com and it is already live with some welcome feature The new crypto currency will be governed by a not-for-profit, Switzerland-based consortium the Libra Association which counts MasterCard, PayPal, Visa, Stripe, eBay, Coin base, Andreessen Horowitz, Uber and Vodafone among its founding members.

Facebook plans to expand the association Around 100 members by the time of Libra’s launch in the first half of 2020. The white paper notes that “While final decision-making authority rests with the association, Facebook is expected to maintain a leadership role through 2019. Facebook created Calibra, a regulated subsidiary, to ensure separation between social and financial data and to build and operate services on its behalf on top of the Libra network.”

The Libra Association is itself governed by the Libra Association Council. The council’s members initially are the founding members, each of which runs a validator node on the network and was notably required to make a minimum investment of $10 million to seal the position. Each $10 million investment secures an entity one vote on the council, per Facebook. .

Facebook has also revealed the release of the Libra Investment Token distinct from its global user-oriented cryptocurrency Libra which can be purchased or distributed as dividends to the association’s founding members and accredited investors. Previous reports had indicated that the coin will facilitate payments across Facebook’s various platforms including WhatsApp , Messenger and Instagram, giving the new coin potential exposure to a combined 2.7 billion users each month

Goals of Libra and Calibra is to make basic financial services more accessible to people around the world. Calibra will be integrated in Messenger and WhatsApp along with launching as a standalone app, and Facebook envisions a future where you’ll be able to spend, send, and save Libra as easily as you would send a message to someone.

“From the beginning, Calibra will let you send Libra to almost anyone with a smartphone, as easily and instantly as you might send a text message and at low to no cost,” Facebook said. “And, in time, we hope to offer additional services for people and business, like paying bills with the push of a button, buying a cup of coffee with the scan of a code or riding your local public transit without needing to carry cash or metro passes.