Facebook coin - Libra how to buy
Do you want to know more information how to buy a Facebook coin?
Libra is an upcoming digital currency that users can access through apps and use to pay for things or to send money to each other. In that way it’s a lot like PayPal and Venmo.
When is it coming?
Facebook Coin: How to Invest in Libra, Facebook’s New Cryptocurrency
The Libra Association plans to launch the coin some time in 2020. It will immediately be available on WhatsApp and Facebook Messenger, and through several other Libra partners.
Will I have to use it?
Not yet. Maybe not ever. The answer will probably lie between your answers to “Do you need Venmo?” and “Do you need a credit card?”
HOW TO BUY FACEBOOK COIN
What Is It?
Facebook’s new cryptocurrency is called Libra, after the Roman unit of measurement used to mint coins. (Download the white paper here.) For blockchain investors, this is yuge news. Talk about widespread adoption: Facebook’s reach is so vast that Libra may become a new global currency overnight, on par with the dollar and the euro.
Here’s what we know.
It’s a stablecoin. Libra is a stablecoin pegged to the value of several different currencies. (Read our top-rated piece on stablecoins here.) This means its price won’t fluctuate, like bitcoin — but it won’t be tied exclusively to the dollar, either.
It’s a very big, very secret team. Over 50 engineers are working on the project, which is highly confidential, requiring special keycard access to enter the building.
They want to trade it on exchanges. The Facebook team has had discussions with digital exchanges on listing Libra. This implies it’s not tied exclusively to Facebook, but rather as a real currency that can be bought, sold, and traded.
The estimated launch is 2020. In discussions with exchanges, Facebook has indicated they plan to launch in the first half of 2020.
It will be at least partially decentralized. By partnering with exchanges, Facebook is signaling that it will not be tightly centralized. And by using blockchain, Facebook is signaling this is not an “in-game currency,” accessible only to Facebook users.
How It Works: A New Kind of “Supermoney”
You can imagine Mark Zuckerberg’s exasperation: his company is under fire from governments, while governments use his company to spread state propaganda. You can understand why he might be ready to work outside the government altogether, to form a new kind of “supermoney.”
In a blog post titled A Privacy-Focused Vision for Social Networking, Mark Zuckerberg announced his intention to move the Internet toward private, secure, encrypted conversations. If those words sound familiar, it’s because bitcoin was also envisioned as a private, secure, encrypted money.
Private. While Facebook today is like a “digital town square,” Zuckerberg said that the new focus will be on a “digital living room,” where you can have private conversations with friends and family without worrying that your online comments will come back to haunt you later.
HOW TO BUY FACEBOOK COIN
How to Invest in Libra
Although details have not been confirmed, it is likely that Facebook will use its new currency to enable payments within the Facebook platform. If it is not tethered to the Facebook platform, investors will be able to invest in Libra by buying and trading it on digital exchanges.
Here’s where savvy blockchain investors can learn from the thousands of altcoins that have launched over the past few years.
Value is driven by users. The blockchain is about people: the more people who use a blockchain, the more valuable it becomes, due to network effects. Facebook is one of the most valuable networks on the planet, giving its currency a potentially massive valuation (if they can get enough people using it).
Value will likely accrue to Facebook stock. Because Libra is envisioned as a stablecoin (e.g., a digital currency with a stable value, like the dollar), the value of the new economy would likely flow into Facebook’s stock price. In other words, for every dollar invested in Libra, consider a dollar in FB stock.
Trading opportunities abound. While we are generally fans of blockchain value investing (“buy and hold”), there will be many opportunities for trading (“buy and sell”), including arbitraging against other stablecoins and other global currencies. Trading will be a rich area of opportunity, especially at launch.
Libra in your 401(k): The dream is an automated platform that withdraws, say, $100 from your bank account each month, investing $10 in Libra and $90 in FB stock. This would offer a convenient way to diversify everyday investors into digital currencies (10%) with the overall stock market (90%).
The beginning of the next wave: If the new Facebook coin takes off, expect other tech companies to follow suit with their own digital currencies. As a rule of thumb, the companies with the most network effects will be the ones that accrue the most value (think Google, Twitter, Apple).
The blockchain is about people. Facebook, with its focus on connecting people, is in a perfect position to become a blockchain leader overnight.
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