You definitely read that correctly. Say it with me loud and clear, zuck buck. CEO & Facebook Founder Mark Zuckerberg has created his own version of cryptocurrency titled ‘Libra’ aka Zuck Buck. Libra is an official cryptocurrency however, after heavy questioning at the congressional hearing this past July, Zuckerberg’s team pushes back on calling it an ‘exchange-traded’ fund.
Libra is more powerful than you think.
It may not be able to trade in the Stock Market however, it’s considered a security under US law and is part of the ‘Managed Stablecoins are Securities Act of 2019’.
How volatile is this cryptocurrency?
According to Zuckerberg, not very. Unlike most other cryptocurrencies, Libra will be backed by numerous other currencies, including the US dollar. Which as we know, is pretty damn strong in today’s market. Does this relatively stable crypto take the fun out of it? You certainly won’t be losing at a rate of the regular cryptocurrency however, you won’t be turning a profit at that same rate either.
Many of you might be thinking, a man as rich as Zuckerberg, why the push for a Libra cryptocurrency?
Many speculate that Zuckerberg did this specifically in response to China’s own version of cryptocurrency which will be spendable worldwide. Zuckerberg places a great amount of emphasis towards innovation. In his mind, if the United States of America doesn’t innovate in the financial market, they will fall behind times. There is still a large group of people dedicated at keeping technology out of the big finance world. However, with modern technology advancing at a rapid pace, we may not have a choice.
What do you think, will Libra ever be the new Bitcoin?
Sources:
1. https://www.forbes.com/sites/michaeldelcastillo/2019/10/23/analysis-of-facebook-ceo-mark-zuckerbergs-cryptocurrency-testimony-before-congressional-hearing/#7faf1e5928c5
2. https://www.cnbc.com/2019/11/21/new-bill-would-make-facebooks-cryptocurrency-a-security-under-the-law.html
