The operation of Libra<\/strong><\/strong><\/p>\n\n\n\n The Libra will be based on a reserve capital that will be in the form of\ndeposits and\/or securities of different values. The “central bank”\nthat will run and administer the Libra will be an institution that will consist\nof 100 other different member organizations. <\/p>\n\n\n\n These member organizations\u2019 will form through their capital deposits the\nnecessary initial reserve capital to which the Libra will be covered, and it\nwill again be those member organisations responsible for the nodes that\nvalidate the transactions in the Libra system.<\/p>\n\n\n\n The entire concept of this digital currency is based on the users’ ability\nto trade online with the same convenience that they can send an SMS or MMS\ntoday. Facebook has 2.4 billion users that overwhelming majority use mobile\nphone or laptop.<\/p>\n\n\n\n With the use of Libra, its users will be able to make a transition from the\ntangible assets to the digital assets to date. The members-organisations\nparticipating as members of the institution which will exercise the Libra\nadministration and oversight are companies of different interests and business\nactions as well as non-profit organizations.<\/p>\n\n\n\n Such member companies will be Amazon, Uber, Visa, MasterCard, PayPal, eBay, Andreessen Horowitz, Union Square Ventures but also and non-profit institutions and organisations such as Kiva, Mercy Corps, Women’s World Banking etc.<\/p>\n\n\n\n Facebook and Libra<\/strong><\/p>\n\n\n\n In this way the Libra will not be controlled by a company such as Facebook,\nbecause in this case critics of the figure will blame the Libra for unreliability,\nsince in the past personal data of Facebook users have been lost.<\/p>\n\n\n\n Facebook with the introduction of Libra, will create a digital wallet\ncalled Calibra. Surely Calibra will not only use a digital currency like Libra,\nbut the user of Calibra will be able to use also other digital currencies.<\/p>\n\n\n\n Given this, Facebook will be able to maximize the potential Calibra\ncustomers who will in this case be billions of people belonging to the digital\nassets area.<\/p>\n\n\n\n In addition, Facebook bases the Libra architecture on blockchain technology\nthat enables Libra users to use the Libra network in order to create and then\npromote their own products and services which are based on Libra.<\/p>\n\n\n\n In this case, the few barriers entry of Libra users into its network will\ndrastically increase competition, reducing costs in any transaction with Libra,\nand always favoring the consumers-users of Libra.<\/p>\n\n\n\n A Blockchain open resource code technology available to all, promotes transparency in transactions and compliance with the rules in the Libra network, removing any disputes and doubts about it. <\/p>\n\n\n\n A compact protocol of consensus that is the Bible of the rules applicable to Libra and its network will guarantee that these rules will not change and will not be violated in the interests of any organizations.<\/p>\n\n\n\n On the other hand, the Libra will not offer interest to its users, at least\nin the first stage and perhaps this was decided to appease the fierce reactions\nof the global financial system, which in such a case would lose the basic of its\nbusiness activity that is based on buying and selling money with the profit of\nbeing the attached interest.<\/p>\n\n\n\n![\"\"](\"https:\/\/www.liberalglobe.com\/wp-content\/uploads\/2019\/07\/320px-Libra_logo.svg_-e1563444018432.png\"){kind=logo}
Photo by Author: Libra Association
Source: https\/\/libra.org,
licensed Public Domain, https:\/\/en.wikipedia.org\/wiki\/Public_domain<\/figcaption><\/figure><\/div>\n\n\n\n