Facebook unveils cryptocurrency Libra to take on Bitcoin

France 24

California: Facebook has unveiled ambitious plans to launch a digital currency in a move to create an alternative financial system based on cryptocurrency backed by over two dozen companies, including Visa, Mastercard, PayPal among others. Facebook Libra, a potential rival to Bitcoin, is likely to push more e-commerce on its services and boost ads on its platforms.

It is worth mentioning here is that Bitcoin’s price was flat on Tuesday (June 18) after the announcement at around USD 9,200 as per coinmarketcap.com, the highest it has been for a year. Facebook’s main objective is to reach 1.7 billion people worldwide who lack access to the banking system.

The social media giant announced “Project Libra,” a new type of digital money designed for people using its apps and social network. If the plan is successful, users will soon be able to shop with and send the currency called Libra on Messenger and Instagram. As per the company, it can also be used with other merchants such as Uber, Spotify, and MasterCard.

While Facebook did not specify as to when and how the users will get ahold of the currency, executives suggest that the rollout of the cryptocurrency will be in a phased manner and the opportunity to trade Libra is expected to be extended to most users of Facebook services like Messenger, WhatsApp, and Instagram by mid-2020.

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