MAJOR KEY DIFFERENCES BETWEEN FACEBOOK’S LIBRA AND BITCOIN

Everybody has heard about the social media giant Facebook’s digital asset — LIBRA. There may be confusion for the folks who do not have much knowledge about Bitcoin.

So, let us delve into what Facebook’s new Libra coin and how is it any different from the famous Bitcoin!

The most notable difference between Libra and Bitcoin lies in BTC’s decentralization i.e no single entity controls Bitcoin. Whereas, Facebook and Libra associations have a lot of control over Libra.

The second major difference is, Bitcoin’s value is not dependent on any government. In contrast, Libra is tied to national currencies and assets. This means Facebook’s digital asset is a lot dependent on inflation and government control.

The 3rd major difference is- since there will only be 21 Million bitcoins in existence, Bitcoin will be deflationary. Which means, it will prevent inflation. Whereas Facebook’s Libra will be in control, and users must rely on the Libra association and its actions.

Lastly, Bitcoin’s blockchain does not need permission. The miners can mine at their own discretion. But for Facebook’s digital asset, Libra will run on Blockchain that needs prior permission. Which means, miners must seek accessibility before they start mining.