Facebook Cryptocurrency – Facebook is one of the most popular social media platforms with billions of active users patronizing the platforms.
Facebook is definitely the place to promote any topic, new payment systems, new products, and others. Crypto currency has gained its own popularity over the years, and Facebook is one of the platforms helping it grow tremendously.
There are cryptocurrency groups of different types on Facebook that makes it easy for crypto lovers and novices to get to know about the system from other experienced crypto merchants and investors.
However, now Facebook is planning to launch its own cryptocurrency known as Libra, this cryptocurrency will be launched in 2020 according to Facebook, and can be used by Facebook users and transferred via WhatsApp and messenger to other users.
What is Cryptocurrency
Cryptocurrency is a digital peer-to-peer payment system that does not need a third party like a bank or a payment, it is a decentralized payment system which is not owned by bodies like the central bank.
Now, Facebook has incorporated this payment system to enable its users to perform transactions online without the use of banks and another online payment system.
Facebook cryptocurrency Libra can help users who do not have active bank accounts to make payments and receive payments with ease on the platform.
Facebook’s aim for creating a Cryptocurrency is to help billions of unbanked users who have mobile phones to conduct payment transactions with ease on Facebook.
Facebook digital currency will be stored in digital wallets known as Calibra, which is a standalone app and can also be accessed through the Facebook Messenger app and WhatsApp.
With the use of this digital wallet, Facebook users can easily send and receive money at low cost or at no cost at all. Libra can also be used in making offline payments such as paying bills, paying for public transports and others.
This Crypto currency functions as a stable coin that is attached to real assets to make it less susceptible to volatility which most cryptocurrencies face. Libra is simply Facebook’s cryptocurrency, which is created by Facebook for its users to conduct transactions with ease without the need for external bodies like banks.
Who Controls Facebook Cryptocurrency?
Facebook cryptocurrency is created by Facebook but it is, however, a decentralized system that is not owned by a single body, the currency will be serviced by a group of companies known as Libra Association.
The association that controls Facebook crypto currency has been described by Facebook as an independent non-profit organization which is based in Switzerland.
The Libra Association is run by a body known as the Libra Association Council, this council is comprised of representatives of each member of the association and they make decisions concerning the policy and operations of the system.
The founding members of this association are tech companies like Paypal, Ebay, Uber, Lyft, MasterCard, Visa and other financial and venture capital firms that contributed a minimum of $10m.
Facebook claims that once the cryptocurrency is launched in 2020, that it will withdraw its leadership roles and all members of the Libra association will have equal votes in running and governance of Libra.
Therefore, the leadership rights will be shared amongst its leadership members and the association will not just be controlled by Facebook alone.
How To Get Facebook Crypto Libra And How To Use It?
There aren’t much details about how Facebook cryptocurrency will be gotten or used, but with the presence of traditional payment firms like MasterCard and Visa as its founding members.
This probably means users can easily purchase Facebook cryptocurrency through these systems. However, Facebook most probably will distribute its cryptocurrency through a method known as airdrop in cryptocurrency circles.
The airdrop method of cryptocurrency circulation involves handing out crypto in small amounts in order to start off the payment system. But Facebook is likely to develop more reliable ways for users to get Facebook cryptocurrency but they are yet to give details on which methods they intend to use.
Facebook Libra can be easily accessed by Facebook users through its digital wallet known as Calibra, as a user you can download the wallet online and use in sending crypto to any smartphone user.
This digital wallet will be available as a standalone app, and also within the Facebook Messenger and WhatsApp, and users can make transfers from these platforms to other users.
This app will be available for almost anybody in the world who has a smartphone. With your smartphone you can easily download the app and start making use of it.
You can use Facebook cryptocurrency for peer-to-peer transactions. Users can send money to other users, Facebook also intends to facilitate the use of Libra at various vendors for day-to-day transactions. Users can also pay for services like Uber and Lyft since they are also founding members of Facebook cryptocurrency.
Can This System Be Trusted?
Most users are probably concerned if this system is trustworthy. There are lots of privacy concerns regarding Facebook cryptocurrency. But Facebook has said that it will implement policies to prevent money laundering and fraud through this new system.
Facebook claims that it will use verification, anti-fraud processes and automated systems that will protect and prevent fraudulent behaviors on the system.
Also Facebook has claimed that the system will protect users details from the third party and will not share such details with Facebook either to keep it safe from fraudulent activities.
Facebook also claims that it will have live support to help users who lose accounts recover their account with ease. Facebook would also offer refunds for users who lose their money through fraud.
According to Facebook, Libra Blockchain will be built on the open source code, this will allow both developer and researcher to monitor the system for any issue of security flaws.
Facebook has also promised to implement a bug bounty program to act as an incentive for security experts to identify any vulnerability in the system. With all these in place and part of Facebook Cryptocurrency this means the system can be trusted to a large extent.
Conclusion On Facebook Cryptocurrency
Facebook cryptocurrency is a new payment system created by Facebook, and Facebook claims that this system will help its users who do not have active bank accounts to perform transactions with their smartphones.
Lots of people are skeptical about this new system, Facebook has however promised to keep this system safe from fraudulent activities, once it is launched you can transfer to other users and use cryptocurrency through Facebook digital wallet known as Calibra or through Facebook messenger and whatsapp.