There are currently over 5,000 different types of cryptocurrency available to buy, sell and trade online. The market for cryptocurrencies has grown and grown, and it is estimated that the total market capitalization of all of these currencies stands at around $201 billion.
With such a huge market, it is no wonder that Facebook wants to enter it. Here’s everything you need to know about the cryptocurrency and its development.
When was this project announced?
Although this cryptocurrency is not yet in full formation, this project from Facebook started in 2017. Back then, there was only one person working on the currency. However, by 2018, reports that Facebook were creating a cryptocurrency started emerging. By this point, there were over 50 engineers working on the project.
By 2019, the project was in full swing, and the name ‘libra’ was coined. Since then, Facebook has been continuously working on this cryptocurrency, and it is due to be released in 2020. However, the process of creating this cryptocurrency has not been easy.
What difficulties have Facebook faced with this cryptocurrency?
Despite being in creation since 2017, Libra is not yet a currency, and there is only rudimentary coding for it. But why is this?
Libra has faced (and is still facing) a huge amount of legal issues and regulatory issues. Firstly, Libra has faced legal battles because both the name of this cryptocurrency and its logo are already in use in different countries. Multiple companies have filed lawsuits for alleged trademarking infringement, many of which are still underway.
This cryptocurrency has also faced a huge amount of regulatory pressure and political pushback, and as a result, Facebook has had to alter a lot of its original plans.
How will you be able to get Libra?
Facebook is yet to announce plans on how the currency will be available to purchase. However, there has been speculation that it will follow a ‘hybrid’ approach. This suggests that you will be able to buy this cryptocurrency using a credit/debit card such as mastercard or visa, but may also involve free ‘air drops’ of currency in an effort to kickstart the market for this currency.
It has also been suggested that, in the future (once this currency is in action and thriving), that many of the founders of Libra will pay their employers in this currency.
How can you spend Libra?
Because Libra will be a cryptocurrency rather than a physical currency, it can be difficult to know where and how you can spend it. Facebook is planning to launch a wallet called ‘calibra’ that will allow anyone to buy, sell and trade this cryptocurrency.
It remains to be seen just when Libra will launch, and whether or not it shall be successful. If you are considering purchasing Libra, you should first understand the basics of cryptocurrency. Websites such as bitcoin-up.live can help you understand cryptocurrency and help you start trading in bitcoin before the launch of Libra.