8 reasons why Libra is unique
|Nika Baráková|source|502x
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8 reasons why Libra is unique

What characterizes Facebook’s new cryptocurrency, Libra? ccn.com talks of it as an ideal combination of bitcoin and Tether: It is a stable currency based on a secure and stable blockchain supported by reserves of real assets and controlled by an independent association. 



Let’s put it simple. What makes it unique?

1. Its founders are finance and technology giants

Companies like Mastercard, Visa, Facebook, PayPal, or eBay.

2. To buy a vote in the Libra Association, you need 10 million dollars

Libra Association is expected to have 100 members by 2020, which represents 1 billion dollars deposited into the blockchain.

3. Only corporations whose value exceeds 1 billion dollars may become its founders

Only corporations whose value is demonstrably more than 1 billion dollars may become founders of the Libra Association.

4. Its own blockchain system

To satisfy the needs of billions of its customers, Facebook created its own blockchain system based on the BFT (Byzantine Fault Tolerance) algorithm.

5. Libra can be exchanged for classic currencies in the future

Libra can be exchanged for any national currency integrated into the Facebook system in the future. This, however, does not mean that its value will be stable. Libra will keep fluctuating just like any other currency.

6. Libra will be covered by bank deposits

Libra will be covered by bank deposits and short-term government securities in the currencies of stable and renowned central banks. It will not be covered by gold or dollars or by any other traditional means.

7. Decentralization will increase

The aim of the Libra Association is to gradually increase decentralization. The association wants to develop a permissionless system and consensus in the Libra network. It wants to achieve this transition within 5 years and gradually decrease dependence from its founders.

8. Nobody can control the Libra blockchain in the future

No company, not even Facebook or Calibra, will be able to set the future development of the blockchain.

The above points summarize the new cryptocurrency, Libra. We believe Libra will be an asset for the entire crypto world mainly in increasing the acceptance and awareness of cryptocurrencies. However, the question remains whether Facebook, famous for collecting huge volumes of data about everything and everyone, will be able to ensure anonymity for its users.

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