Bitcoin’s Skyrocketing and Passed $11,000, Anything to do with Libra at all?

Bitcoin surpassed $11,000 per coin on Saturday morning. The cryptocurrency’s value has stayed around that $11,000 mark in the hours since, according to the Bitcoin Price Index from Coindesk. But the credit of the recent rise is to be given to Bitcoin and Bitcoin believers not Facebook’s Libra.

It’s hard to attribute the cryptocurrency’s value to anything in particular but many have attributed it at least partly to the Libra cryptocurrency Facebook announced on June 18. But is it really even a factor? All the accumulation and adoption had started way back before the Libra announcement. And the Bakkt is gonna jump start next month and all the good news and updated from the conferences. Bitcoin and Libra don’t have a direct relationship, but pun intended when we say that the cryptocurrencies are in many ways two sides of the same coin.

Libra differs from Bitcoin in that it’s a “stablecoin” whose value is supposed to remain fairly consistent. Facebook said that Libra “will be backed by a collection of low-volatility assets, such as bank deposits and short-term government securities in currencies from stable and reputable central banks.” The company’s goal is essentially to introduce a blockchain-enabled currency that’s comparable to traditional currencies many people already use.

Bitcoin differs in that it’s not really backed by anything but demand and believes in the technology and the concept. BTC is like gold and the value is based on the demand and mutual believe in it as a way of storing value. There is no need and there is no law behind it unlike fiat money. And, it is doing fine.

The fact is that the recent bitcoin jump started 2 month ago from rising from the bottom of around $3500. Now th journey continues but facebook plan to do an stable coin is not contributing to it. at least now that it has not even been used or in mainstream media. The credit of the recent rise is to be given to Bitcoin and Bitcoin believers not Facebook’s Libra.

What is Libra?

Libra is a stable-coin, meaning that it always will be $1 and not volatile like Bitcoin. Expected to be launched in 2020, Libra is a blockchain-based digital coin that will let Facebook users to send and receive money or to pay for services. The goal is for Libra to be used outside of the social network as well: Consumers may eventually be able to use it to pay for a cab or a cup of morning coffee.

What is Facebook Money/ Coin LIBRA? And How it works?

Categories: cryptocurrency, Gaming News, Technology

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Mohsen Daemi
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