Facebook Wants to Do Away with Normal Money

Facebook has announced the launch of a new cryptocurrency called Libra. It aims to transform the way money moves around the world.

The details concerning Libra were released in its white paperThe new coin is set to launch in the first half of 2020.

Libra will let you buy things or send money to people with nearly zero fees. You will be able to pseudonymously buy or cash out your Libra online, or at local exchange points such as grocery stores.

Then you can spend it using third-party wallet apps or Facebook’s own Calibra wallet. Calibra will be built into WhatsApp, Messenger and the Facebook app itself.

“We’ve seen internet change the game for everything that could be digitized, except for money,” said David Marcus, the leader of Facebook’s Calibra division.

“The numbers really speak for themselves. There’s 1.7 billion people around the world that are unbanked, the same number are underserved by financial services.”

Marcus previously ran its Messenger division and used to be the president of PayPal.

“Now, anyone with a cheap smartphone has access to all the info they want in the world for free with a basic data plan,” he says. “Why doesn’t money work the same way?”

Libra explained

Libra will be run by a nonprofit, the Libra Association, to be based in Geneva, Switzerland.

The new coin will be backed by relatively stable government-backed money, unlike Bitcoin and other cryptocurrencies.

“If you buy $50 of Libra, your $50 makes its way to the Libra Reserve,” Marcus says. “It’s designed to be stable and confer values on Libra that makes it more like a traditional currency than any of the digital currencies are now. This is the way paper money was created.”

The Libra blockchain will be open-source. This means anyone can build a service or app that uses the currency. The wallets being developed for Libra are also designed to be interoperable.

That means you’ll be able to send money from Facebook’s Calibra wallet to any other digital wallet that also accepts Libra.

Small-cap winners galore

The big stock market winners share one common attribute: Near the beginning of the ascent of their shares, the companies offer revolutionary products or services, are market leaders in their respective industries, or both. Some big stock market winners that possessed the attributes outlined above are Netflix (NFLX), which we recommended to investors in October 2002; Intuitive Surgical (ISRG), which we bought and recommended in July 2004; Baidu.com (BIDU), which we bought and recommended in August 2006; and MercadoLibre (MELI), which we recommended to investors in October 2010. Get up-to-date small-cap stock picks from David Frazier, editor of Small-Cap Profit Confidential.
Click here

Smarter cryptocurrency investments

The stock market crash of 2008 was the catalyst for his journey into alternatives. And interestingly, it was the impetus behind the creation of Bitcoin and the blockchain technology behind it. Keene Little wasn’t ready to risk his money yet but he was very curious, so he began charting Bitcoin’s technical patterns. What finally convinced him to dip a toe into digital currencies was seeing that they followed familiar price patterns that could be analyzed and successfully acted on. Now he shares those insights with subscribers to the Crypto Wealth Protocol.
Learn more

Leave a Reply