July 12, 2019

Will Facebook Survive the Cryptocurrency Battle Royale?

Ever wondered the social media application, ‘Facebook’ could entitle you to mine a cryptocurrency? Cryptocurrencies or digital currency have been a vital currency in the past decade. The growth of this currency has always been exponential . Many young entrepreneurs and businessmen invest in these different types of cryptocurrencies and are endured a great profit too. Some of them have even earned in millions of dollars.
In this age of of cryptocurrencies, the famous social media application, Facebook is planning to launch its own cryptocurrency by the first half of 2020 named ‘Libra’. Obviously, one would expect the value of the cryptocurrency from a billion dollar social media company to be quite high. People from all over the world are already excited for the launch of the currency. It is going to be run by the libra association, a Geneva based entity that has over two dozen founding partners, including Mastercard, Visa ,Uber and the Vodafone group.

facebooklibra Vs Bitcoin
Many lawmakers and commentators like Chris Hughes have asked why would the world need Libra? The Mission of Libra is, ‘ To enable a simple global currency and financial infrastructure that empowers billions of people’. Libra has tried to solve the problems of high fees of internet access which is the reason why more than half a billion of people do not have the internet access .
They also suggest that moving money around the globe should be easy, cost effective, more safe and secure than sending a text message or sharing a photo ,no matter where you live ,what you do and how much you earn. Imagine, living in an age where money transfer would be as easy, safe and convenient as sending a message! And the even more fun part is, this day isn’t too far! It is true that Bitcoin and Libra are based on the Block chain technology. They are created by complicated Math functions that makes it almost incorruptible. Yet, there is little common between the two digital currencies . Dominic Frisby imagines what would happen if Bitcoin becomes somehow globally preferred, “In a flash, the ability for a government to fund itself through the manipulation of money disappears. You can’t obfuscate bitcoin supply — inflation is transparent. You can’t ‘quantitatively ease’ bitcoins. Central banks and private banks can’t create bitcoins when it suits them and government can’t print bitcoins. It all means you don’t have to pay the price for the mistakes of governments and banks!” Isn’t that something we’ve all been wanting for all this time?
They believe in collaborating and innovating with the financial sector, including regulators and experts across a variety of industries, which is the only way to ensure that a sustainable, secure and trusted new system. Bitcoin is almost 11,000 dollars today and with the increased and better efforts Libra will really overcome the value of bitcoin in no time suggest experts . The goal of Facebook is not only in creating a digital currency, but also is widespread across enabling others to earn more and have a safe money transfer .
Bitcoin has encountered different challenges. It is one of the most volatile currency in the entire world. Libra is one step ahead to the solution of this problem. A currency always needs to have acceptance across the world and Facebook has over 2 billion users and so it be really easy for them to valid the currency. They also promise to abide by all the rules and regulations which guarantees safety to people who invest in this digital currency. Definitely, Facebook’s popularity will have a huge hand in the progress of the currency.
Libra has surprisingly been opposed by Markus Ferber , a German member of the European Parliament has reported by saying that “Facebook could be a shadow bank” and the regulators should be on high alert. Bloomberg has reported that the French Finance Minister, Bruno Le Maire, has called on the Group of Seven central bank governors to “prepare a report on Facebook’s project for their July meeting. His concerns include privacy, money laundering and terrorism finance”. The fact that a social media application is moving into the cryptocurrency domain for making all our transactions simpler is such a huge step for Facebook as well as for us! Though there are some problems in the initialization of the currency Libra , it will try to solve them as soon as possible and get the currency into the market. The intensions of the company creating the digital currency seems fairly acceptable at the moment . It could bring about a drastic change in the crypto or the block chain market . The possibility of generating safe transfer and a better currency for the world is quite possible . Let’s hope it brings a positive change and favor us with its unique style like Facebook has always done it!

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