Facebook announced today the details of its cryptocurrency project: a financial services offering called Calibra. This “newly formed Facebook subsidiary” is launching in 2020 and will be a digital wallet to store and send Libra, a new cryptocurrency. It will initially be integrated directly into WhatsApp and Facebook Messenger, before eventually branching out as a standalone app for iOS and Android. Calibra will let its users send Libra to each other “as easily and instantly as you might send a text message, and at low to no cost.” The company hopes “to offer additional services for people and businesses, such as paying bills with the push of a button, buying a cup of coffee with the scan of a code, or riding your local public transit without needing to carry cash or a metro pass.” Read more for a video of the wallet in-action and additional information.
“Libra, the cryptocurrency, will run on its own Libra blockchain, which today launches an open-source testnet. The blockchain and cryptocurrency will all be overseen by the Libra Association, a not-for-profit that is separate from Facebook and headquartered in Geneva. Libra Association says Libra is not a stablecoin, because it is not pegged to a single currency and does not have a fixed value in any fiat currency. Rather, a spokesperson says, it will be ‘a blend of multiple currencies,’ so its value ‘will fluctuate in any given local currency, and exchanges will charge a spread above or below the value of the reserve,'” reports Yahoo News.