Teknoku.me – After a brief delay, Facebook’s virtual currency, Libra, is rumored to be coming in early 2021. The return of Libra is likely to come with a number of adjustments.
The Libra Association, a 27-member consortium formed by Facebook, originally intended to release a cryptocurrency based on several currencies.
However, this turned out to raise concerns among central banks and regulators, so the Libra Association then decided to make an alternative in the form of stablecoins.
Stablecoins are cryptocurrencies that are based on a specific currency so that their value does not fluctuate against that currency. For example, the value of a US dollar-based stablecoin will remain at 1 US dollar.
Libra stablecoins will also compete with other stablecoins such as USDC, PAX, and Tether (USDT).
The Libra Association is reportedly going to help make stablecoins based on different currencies such as the euro, pound, or Singapore dollar in the future, along with other types of cryptocurrencies.
The schedule for Libra’s attendance remains unclear as it is awaiting approval from the Swiss financial supervisory authority to operate as a payment service. However, industry sources have suggested that Libra could launch as soon as January 2021.
Facebook is likely to release a Libra digital wallet at the same time, namely Calibra, which was renamed last May as Novi.
In addition to using standalone applications, Facebook users will likely be able to manage Novi’s accounts from Facebook and Messenger applications.
Libra Association is known to have members from digital service providers such as Spotify, Uber, Lyft, Shopify, and Farfetch. It is unclear whether they will adopt Libra in the near future or not.