From $998 at the start of 2017 to an incredible high of $20,000 in December of the same year, and from the low of a mere $3,000 in the early months of 2019 to the promise of a return to its previous best (or even much, much higher) in June, the bitcoin price has been known to be a cyclical beast with higher highs and lower lows than any other cryptocurrency in the world.
The bitcoin’s ongoing bull run saw its value break through the $10,000 barrier on June 21, before busting through the $11,000 level a mere 24 hours later on June 22. With expert traders and analysts predicting a price boom to $65,000 and even $100,000 by the end of 2019, Bitcoin is a hot market to invest in right now, with Ethereum following close behind.
Many professional traders have cited the reason behind Bitcoin’s latest rallies this week to be Facebook’s Libra, a new cryptocurrency announced by the social networking behemoth on June 18 which directed even more of the world’s attention toward the ever-growing crypto scene.
While there’s much intrigue and doubt over Libra, it’s still coming, and it could possibly even be revolutionary. Let’s take an in-depth look into Facebook’s latest offering:
Libra is a digital currency and financial infrastructure powered by a Facebook-created blockchain based on a programming language called Move. Libra will function as a “stablecoin” making it less subject to the extreme volatility associated with cryptocurrency prices. Here’s a link to Libra’s official whitepaper.
The “Libra Association,” a not-for-profit organization based in Switzerland would be responsible for servicing the cryptocurrency. Its role would be validating transactions on the blockchain and managing the reserves Libra would be tied to, which include cash and government bonds.
The Libra Association will house the Libra Association Council which would be comprised of a representative each from the founding members of the association, a list that reads like the who’s who of the tech and financial industries – PayPal, Ebay, Spotify, Uber, Lyft, Visa, Mastercard, and Thrive Capital are some of the organizations that have contributed a minimum of $10 million to the project, earning a seat on the council.
All members will have equal votes in governing the policies and operations of the cryptocurrency.
Libra is expected to be launched in 2020.
When Libra is launched, Facebook will also launch Calibra, a digital wallet that can be used to store Libra. This will allow anyone with a smartphone to send and receive Libra. Calibra is expected to be available on both Facebook Messenger, Whatsapp, and also as a standalone app.
Crypto purists and enthusiasts have been quick to criticize the involvement of massive corporations in a world known for its autonomy and the absence of centralized, controlling authorities. Regardless, Facebook’s new project is driving even more traffic toward bitcoin and the revolutionary tech that is blockchain, which could be a positive thing in the near future.
Meanwhile, the bulls keep plugging on, and the BTC price could reach unprecedented levels soon. A bright future for cryptocurrency could be in the offing.