Facebook (NASDAQ:FB) has officially unveiled its project in the highly anticipated crypto-currency, the Libra, on Tuesday. Facebook has also announced the creation of the Libra Association, an independent organization that will manage the currency, and of Calibra, a unit of Facebook, which will create apps related to the new digital currency.
In the context of this announcement, Facebook has launched a test version of its blockchain. It is a free software, which means that developers can experiment with the creation of applications on the platform and submit their comments on the code. The currency itself is expected to be launched in 2020.
“The mission of Libra is to be an infrastructure monetary and financial simple and world, which gives the power to billions of people,” said David Marcus of Facebook, which directs Calibra and directs the project Libra.
One of the objectives of the project is to help the 1.7 billion people in the world who do not have a bank account to gain access to a stable currency and financial services, according to Facebook.
In recent months, the company has implemented the Libra Association, an organization director non-profit that will oversee the Libra. Facebook said that it did not want to be the only one responsible for the crypto-currency because it has the intention that the cryptocurrency is a ” public good “.
The group that composed the Libra Association has 28 founding members, including Facebook, which ensures that it will not have more power than the other members.
The association will be based in Geneva and will officially take up his duties this week to oversee the deployment of the Libra. Facebook hopes to reach 100 members of the association by the launch of 2020.
Among the founding members were the great names of the areas of technology, finance and non-profit organizations, including Mastercard (NYSE:MA) , Uber (NYSE:UBER), Visa (NYSE:V) and Paypal.
These partners constitute a strategic contribution in terms of expertise in terms of international financial regulation, the blockchain and the financial needs of poor communities around the world.
Users will have access to Libra in many ways, not only by Facebook, says today.
The new subsidiary of Facebook, Calibra, will build a “portfolio” so that people can use Libra to send funds to their friends and make purchases on Facebook and Instagram.
A button on Whatsapp and Messenger will allow users to envoyerdu Libra in their son’s messages, in the same way that they send GIF or easily add emoji. Calibra will also function as a stand-alone application.
Other companies will be able to create similar applications. For example, a store could create an app allowing users to take out a loan in Libra, or a retail business may connect to the network so that users can make payments in the digital currency of Facebook.
Also remember that the Libra will be backed by a set of financial assets may include bank deposits and government securities short-term u.s. Treasury, among others. This will help to avoid the volatility that has affected other crypto-currencies such as bitcoin.
Indeed, it is essential that the crypto-currency of Facebook is the least volatile possible to be able to be used in the payment of daily life.
In recent months, Facebook has been the subject of criticism from users and politicians about the issues of privacy and security on its platforms, and the company is under the threat of a procedure in anti-trust in the United States.
In the Face of rumors about the plans of the company, the banking committee of the u.s. Senate, wrote last month in a letter to Mr. Zuckerberg, asking him how the company would protect the financial data of the users.
Facebook said that it had received the letter and that he responded to questions from the senators.
For its part, Facebook has said that the financial data of the users will be processed only by Calibra, and will not be shared with Facebook or compiled the social data of users.
The company has also worked with financial regulators in the United States and elsewhere in the world. It has developed a procedure to verify the identity of persons who will use the Libra on its platforms, in order to comply with the governmental rules of the fight against cyber crime.