Review on Libra by Modest Opinion
Does Libra have a future?
Libra aims to provide a cash exchange between 1.7 billion social network users around the world. Partner companies investing in the project and participating in its development should join the system. There should be more than 100 such companies by the time the program is publicly launched in 2021. Among them, one can see VISA, MasterCard, PayPal, Uber, Ebay and other financial and trading companies
Similar projects based on blockchain technologies are planning to create many large companies. But their interests can radically differ. One thing is invariable: increased attention to cryptocurrencies from not only users, but also companies, sooner or later will necessitate legislative regulation of the entire sphere. And the development of the blockchain by giants such as Facebook can only accelerate this process. On the other hand, the possibility of regulation may cast doubt on the principles of any project based on the use of cryptocurrency - anonymity and decentralization
Pros
- This will free people from high bank commissions. Many are annoyed by the relatively large time of traditional money transfers. Where there are p2p payments, p2p lending will appear there, which can finally finish off the international banking system
Cons
- High volatility, lack of legislative consolidation in many countries make us treat cryptocurrencies exclusively as a speculative instrument or even as a financial pyramid.
- Facebook has recently become the cause of numerous public discussions. It's all about the leak of confidential information in which the social network was recently caught. This circumstance may make the user think: is it ok to trust their money Facebook.
- Libra’s partnership with the announced companies is, to say the least, “flexible”. At the time of the conclusion of the agreement, the companies set the conditions under which they can exit the project at any time
