Know About Facebook New Cryptocurrency Libra
Facebook has finally revealed the details of the cryptocurrency Libra and it lets you buy things or send the money to people with about zero fees. The company has revealed white paper to explain Libra and how it works before public release in 2020. Know About Facebook New Cryptocurrency Libra.
Its Working
When cryptocurrency launches, you will be able to buy or cash out Libra online at the local exchange point like grocery stores. You can spend the amount with the use of third party wallet apps or Facebook own Calibra wallet and it will be built into WhatsApp, Facebook Messenger as the standalone app.
What You Can Buy
You can do the transactions on the app and Facebook wants to facilitate use of Libra at different vendors for day to day transactions. The ride hailing services like Uber and Lyft are the primary investors in this project and it is expected that the users will be able to pay for services on apps with the use of Libra.
Libra Association
The currency will be used for the services provided by combination of companies, which are called ‘Libra Association’. The functions are known as ‘Stablecoin’, which is pegged to present assets like dollars or euro with the aim to make it less subject to volatility that various cryptocurrencies face.
Facebook described that Libra Association is an independent and not for profit organization, which is based in Switzerland. It has two main functions firstly validate the transactions on Libra blockchain and to manage reserve Libra is tied to and allocate the funds to social purposes. Facebook do not have fully control Libra and it has got single vote in the governance like other founding members of Libra Association like Visa, Uber and Paypal and they have invested minimum $10 million each in the operation of the project.
It Is Safe
Facebook is launching the subsidiary company called Calibra to handle the crypto dealings and protect the privacy of the uses by not mixing your Libra payments with facebook data and it cannot be used for ad targeting. The company said that it will implement technologies to prevent money laundering and fraud.
