What we know about Facebook's "Libra" cryptocurrency

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After our mention of Facebook's upcoming cryptocurrency in yesterday's newsletter, today, Facebook has finally released the whitepaper for "Libra".

Our team at CoinGecko has read the 12-page document so that you don't need to, here's what we know so far;
  • It is set to launch in "the first half of 2020", though a test-net is already available for developers.
  • It is not a 1:1 peg to any currency. Libra promises "low-volatility" with its holdings of reserve assets.
  • It will run on "Move", a new programming language for implementing custom transaction logic and “smart contracts” on the Libra Blockchain.
  • It uses LibraBFT, a modified Byzantine Fault Tolerant consensus algoritm.
  • Running a Libra Node costs $10 million USD upfront, and will be entitled to ONE council vote. Initial node operators will be given "Founding Member" title.
  • Transactions will be pseudo-anonymous, much like bitcoin and ethereum. Custodial services might require standard AML/KYC compliance.
  • There will be an STO called Libra Investment Token, which is a securities only available to accredited investors.
  • Regulatory compliance falls on developers, Libra Blockchain itself will not be regulated.
There is much to unpack from the information released by Libra, which includes documents beyond the whitepaper.

Feel free to read the 12-page whitepaper here.