Dec 6, 2019
13 Reasons Why: Facebook Is Scoring Bitcoin
By Coins Capture on Altcoin Academy
Bitcoin being the first Cryptocurrency based on Blockchain was an evolutionary change in the market with the purpose of all the aspects related to the monetary. While Facebook marked itself in the world of socializing sites. Facebook has strived to be a part of all the streams and how possibly it could not be a part of the booming cryptocurrency industry.
Facebook aims to do the same in the world of Cryptocurrency named as ‘Libra’. Both the subjects belonging to different regions of the industry aspires to work in melancholy.
We have laid down a few reasons of why Facebook’s Libra coin could outshine the foremost Bitcoin:
Technical Aspect:
- Facebook’s Libra is expected to be a digital currency but also has a hint of characteristics of fiat currency with its different approach to decentralization, as it is comparatively less decentralized and regulated than the Bitcoin, it would help to block the criminal activity such as ransom security, drug cycle and so forth on the Libra network.
- Libra is a permission method of blockchain meaning that the transactions can only be added by the trusted group of parties which are members of the Libra Association.
- Facebook’s Libra would be responsible with regards to building a reliable ledger as it consists of Association that is Facebook and other companies.
- Libra is designed to be a stable coin that would benefit it to be scalable, will bring price stability, privacy, low-volatility and security, however, the Libra’s value be against the basket of government bonds and currencies.
- Libra is also expected to be an equity-backed asset and is receiving attention as it is evidencing the growth in the number of coins are backed by precious metals.
Attachments:
6. Facebook has over more than 30% of users globally which leads to a higher rate of people having the chance to get attracted to its Cryptocurrency, considering Facebook will introduce it directly without having to go through the external hurdles that increases the chance of success as Bitcoin did have that baggage.
7. For novice users understanding Bitcoin’s ecosystem can be a task, however, Facebook’s project would need little use of the brain cells as it strives to be user-friendly.
8. Libra in a way has happened to be an extension of the already existential digitization which lessens the risk factors of people to feel alienated about cashless transactions.
9. With regards to the unit of account and increase in financial inclusion, Libra could significantly benefit the developing and emerging economies, underbanked people and also lead to the local welfare.
10. People have a choice, wherein the majority of people are forced to use their country’s fiat currency, even if it’s a disadvantage to the citizens, it could provide refuge from inflation.
Others:
11. In bitcoin, the crypto-community and developers decide on what happens to it. However, in Facebook’s Libra coin it would not have an environment like Bitcoin’s node model as it will be backed by the Libra Association.
12. One of the major attributes that Facebook’s Libra has is its Association. Libra at present has more than 22 corporate partners such as Vodafone, Uber, Spotify, and so forth and aims to reach 100 in total partners before its launch. Even if no timeline has been stated with the integration yet it could be said that it will provide plenty of variations and opportunities.
13. Also stating that it will not be only limited to Facebook’s ecosystem but also be subjected to Instagram, Whatsapp and few other services leading to much and more exposure.
Also Read, All about Facebook’s Libra Coin
According to the statistics by a mobile surveying company- Geopol and World Wide Worx, in Nigeria, 65% of people believed that Facebook is the Internet. That is the impression and impact people have about Facebook.
In the world of Cryptocurrency, a new coin is always compared to the Bitcoin which is a best-known cryptocurrency. Yet Facebook’s Libra and Bitcoin are entirely different structure thus needing different regulations.
Charles Hayter, the Co-founder, and CEO of CryptoCompare told CNBC that regardless of Facebook and its partners overcoming the hurdles, the currency, “will undoubtedly have an enormous impact on the global economy — possibly eclipsing that of bitcoin.”
