What Is Libra?

Mark Zuckerberg believes in constant innovation. Perhaps, that is why this man has endeavor so much at a young age. After connecting the whole world via Facebook, he is planning to launch Facebook’s own own digital currency. Yes, Facebook is going to launch its currency sometime in the first half of the next year.

If all goes according to their plan, Libra could be bought and sold within the firm’s apps, and messenger. Anyone could do a transaction with a simple tap on a smartphone, regardless of their geographical locations. Bitcoin and other digital currencies’ rise is the reason why a giant like Facebook has decided to launch its own cryptocurrency.

Like other digital currencies, Libra is an attempt to undercut existing payment services. Surely, Libra is not going to be an ordinary digital currency. It is a product of a social media giant like Facebook, so it is bound to get popular. However, to compete with bitcoin or other top digital currencies, it will need to do transactions faster than bitcoin.

Why Libra Is Going To Switzerland Instead Of USA?

This indeed is a mind-boggling question. Why Facebook had to take Libra to Switzerland, not USA? What are the reasons?

As compared to the USA, Switzerland has a crypto-friendly attitude. The United States has always been reluctant to accept digital currency since the concept of blockchain emerged.

On the other hand, Switzerland has a crypto-friendly attitude and they are apparently more open to it. Their legislative rules appear to have more room to accommodate a system like Libra in their system, as compared to the US who neither accept, neither reject.

But for a digital currency to survive, it needs a free and accepted ground for trade, otherwise, amid the credibility doubts, no one would invest a penny in it.

The Libra Association, that is the nonprofit organization behind this currency, is looking to get a payment system license from Switzerland.

On Wednesday, the association announced that the license under the Swiss Financial Market Supervisory Authority (FINMA) can “empower billions of people.”

Facebook’s intentions in Libra’s promotion are clear and they are not even hesitant to move from the US to Switzerland, in order to take it to a crypto-friendly environment.

Conclusion

Without a doubt, Libra can bring unprecedented revolution in blockchain world. The minds behind Libra, are no less than the mind behind Bitcoin. With its already established user-base, Facebook can take Libra to new heights, where it might stand out among other digital currencies. However, how long it may take and how much support it gets from FINMA is yet to be seen!