After all the buzz and rumours, Facebook finally unveiled its much awaited cryptocurrency plans on Tuesday. The giant shared the details of the “Project Libra”, a new kind of digital currency crafted for the billions using Facebook’s app and social network. Facebook is yet to furnish the details like its launch date and how it will be used. However, some of the executives have indicated it to be first distributed on Messenger and Whatsapp by mid-2020.
As per the information shared, once the Libra, the cryptocurrency, is launched, the users will be able to make the monetary transactions on Messenger and Instagram. It will also be accessible to be used on a variety of other merchants like Uber, Spotify, and MasterCard.
Facebook also shared about Calibra, its new digital wallet. It will be run by Facebook as a distinctive subsidiary and assist users to store and spend Libra. The digital wallet will be showcasing the value of users’ Libra in their local currency and render a design similar to Venmo, a popular digital wallet for transferring money.
The Project Libra is being led by David Marcus, a former PayPal executive. He said, “One of the main goals of the initiative is to reach out to 1.7 billion people across the globe who still do not possess access to the banking system.”
He further added, “It’s an anomaly that the Internet has no protocol for money.” Project Libra is likely to give more competition to existing financial services, while giving a thrust to the capital access.
The initial members of the Libra foundation are going to be Facebook and 27 other partners like Visa, MasterCard, PayPal, Coinbase, and venture capital firms like Andreessen Horowitz and Union Square Ventures.
PayPal executive Marcus expects the number to go upto 100 by the time the Libra is launched.