Facebook building its own blockchain and cryptocurrency (Libra) is the final wake up call to anyone still skeptical about the future of digital currency and the trend towards decentralization. This is one of many market signals in 2019 that marks the beginning of mass-awareness and mass-adoption of crypto, which will lead to demand for crypto and massive increases in cryptocurrencies prices across the board. Yes, the booms and busts form 2011 – 2018 were only a precursor to something much bigger on its way.
Although I’m skeptical of the long-term relevancy of Facebook itself (as a social network or ad network), I do give Facebook credit for attempting to adapt to the disruptive force of blockchain tech and cryptocurrencies. Crypto is not going away so if you have not invested in crypto, what are you waiting for??? Libra, a stable coin, is actually not that interesting to me on the surface, but behind the scenes is an asset token, owned by node operators who have invested $10M each to be a part of the network. THIS is interesting.
Powerful players like Coinbase, Uber, eBay, Spotify, MaterCard, Stripe, VISA, etc all now have skin in the game with Libra. Because of this I think Libra will be successful for a short period of time after launching in 2020. But let’s be real, Libra is not a competitor to Bitcoin, Ethereum, or EOS (pure-play decentralized blockchains and cryptocurrencies). Facebook is still struggling with privacy issues and attrition as younger generations leave the network or never join, in favor of newer social apps and up-and-coming blockchain-based social networks like Voice.com.
Libra is actually more of a competitor to banks, central banks or the Federal Reserve. Yet, personally, I believe things like Reserve Protocol (on Ethereum) or Equilibrium (on EOS) are better long-term solutions for decentralized and stable cryptocurrency systems. I guess only time will tell, but this is my take on Libra, Facebook’s foray into crypto.
At the end of the day I this news brings mass awareness and legitimacy to blockchain tech and crypto and its very bullish for the crypto markets overall. As such, I believe Libra signals the beginning of the mass-adoption phase of crypto and will lead to a massive run up in crypto prices over the next 3 years. Are you ready?
What is your take on Libra? Please feel free to comment below and tell me what you think.