Facebook is working on big plans to unveil a new cryptocurrency platform with a launch slated for next year. When this platform is launched, Facebook users will be able to send Facebook’s Libra cryptocurrency to each other, and they will also be able to use it to buy online. To ensure support for its new digital currency, Facebook has invited many companies in the financial, e-commerce and technology sectors to participate.
Visa, MasterCard, PayPal and others announced their support
for “Libra” currency
Visa and MasterCard, the electronic payments company PayPal as well as Uber was among many companies that have been involved in investing up to $ 10 million. All these contributors will help launch the new cryptocurrency, as Facebook seeks to provide $ 1 billion to support the new project.
What is the impact of this new currency?
Many reports indicate that Facebook has been developing this currency for more than a year, but there is still very little information about it. It is known now that Libra will be tied to a basket of official currencies in an attempt to counter the extreme volatility which has plagued other cryptocurrencies. Facebook new currency will have an advantage over all other cryptocurrencies which is its user base that consists of billions of accounts. However, regulatory challenges in the United States and elsewhere remain a major obstacle, in addition to that concerns about using cryptocurrencies for money laundering and financing terrorist organizations.
What does the future hold?
Facebook has already begun to finish its work on Libra technical points, and neither Facebook nor any of its partners will be able to directly control the currency, but they may help to develop Libra’s network payments by approving transfers. Not surprisingly, Facebook seeks to ascertain the regulatory affairs of its new digital currency, because they don’t want to add another problem to their privacy dilemmas. Finally, Facebook is expected to release a detailed statement on Libra by the end of this month.