How Will FB Coin/JPM Coin Impact the Cryptocurrency Ecosystem?

[gentlemand]

https://twitter.com/udiWertheimer/status/1140897329014329345

This regards Facebookcoin's wallet, https://www.calibra.com not Facebookcoin itself, but it does reveal a bit.

Full KYC, custodial wallet, a mention of fees.

It's currently down so here's some snapshots - https://imgur.com/a/65TYsPa

This is what appears to be the Libra white paper - https://libra.org/en-US/white-paper/#introduction

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[exstasie]

It's currently down so here's some snapshots - https://imgur.com/a/65TYsPa

"...built on the foundation of a blockchain (the Libra Blockchain)."

Well that seals the deal. It's a closed/permissioned network. There's no decentralized blockchain to allow robust secondary markets or prevent censorship. This seems just as gimmicky as Binance's "DEX."

This regards Facebookcoin's wallet, https://www.calibra.com not Facebookcoin itself, but it does reveal a bit.

Now I'm confused. Doesn't Calibra = Facebook?

[gentlemand]

"...built on the foundation of a blockchain (the Libra Blockchain)."

Well that seals the deal. It's a closed/permissioned network. There's no decentralized blockchain to allow robust secondary markets or prevent censorship. This seems just as gimmicky as Binance's "DEX."

It says the aim is to start to become permissionless within five years and it's going to be open source whatever. I haven't finished the paper fully but it's a bit less nauseating than I was expecting so far.

Now I'm confused. Doesn't Calibra = Facebook?

They're saying it's a separate thing to keep financial stuff segregated.

I just read through it. Overall it's pretty much in line with what I was expecting but perhaps more of an emphasis on it eventually being open to all than I expected. However that's how Paypal started too.

The smart contract function in particular makes me wonder about stuff like ETH and similar projects. No doubt it's going to be vastly more secure and simple and contract makers don't want volatility either.

[ichai]

"On the one hand, these are amazing developments that validate blockchain technology and its potential as a currency system, however, they are also drifting us away from the original vision of a decentralised monetary system. In February 2009, Satoshi wrote on a P2P online forum:

'The root problem with conventional currency is all the trust that’s required to make it work…but the history of fiat currencies is full of breaches of that trust'”

Taken from the article linked below, worth reading. Do you think the emergence of banking and corporate digital currencies will take away from the original cryptocurrencies or can they live in harmony?

https://medium.com/@marcus_61942/decentralised-cryptocurrencies-vs-digital-currencies-3811e36cc94f

I think they will impact very positively to the crypto market. A large amount of capital is added to the crypto market and there will be huge amounts of money invested from these 2 coins funds.
We will see our market will grow strongly in the coming time and surely ETH and Ripple will face many difficulties in competing on scale.

[bitcoinproblogger]

To be honest, it can be a wild card. There are many scenarios that could happen. All of which are hypothetical - until they are not:

1. Facebook coin is integrated on its social network.

As a result people wishing to send money to their loved ones can do so via messenger, which is really a no-brainer. FB then corners this market, the people who don't give a shit about blockchain technology, speculation and such that is endemic to the bitcoin ecosystem. The billions of users are happy.

1.A. Facebook coin does not take the 'usual crypto' route and refuses to integrate to the crypto exchanges.

It will become a de facto fiat/or stable coin that can't be traded. Can they do that? Yes they can, if they limit the technology within a closed loop in Facebook.

I'm not so much into the technical aspects, but I surmise that they can do this. If they do, Bitcoin will become relegated to a core niche community, and fb coin will rule.

1.B Facebook coin allows open integration into the overall cryptocurrency ecosystem.

Chances are it will become tainted with regulatory uncertainty BECAUSE it will be subject to speculation. I would surmise that this has less than 50% probability, knowing full well facebook's regulatory concerns. The last thing it needs is the SEC, FATF and all those interagency task forces looking into their business when there's already talk of privacy and anti-trust issues.

[omonuyak]

"On the one hand, these are amazing developments that validate blockchain technology and its potential as a currency system, however, they are also drifting us away from the original vision of a decentralised monetary system. In February 2009, Satoshi wrote on a P2P online forum:

'The root problem with conventional currency is all the trust that’s required to make it work…but the history of fiat currencies is full of breaches of that trust'”

Taken from the article linked below, worth reading. Do you think the emergence of banking and corporate digital currencies will take away from the original cryptocurrencies or can they live in harmony?

https://medium.com/@marcus_61942/decentralised-cryptocurrencies-vs-digital-currencies-3811e36cc94f

I will not deny the fact that the introduction of this Facebook coin or globalcoin and gpmcoin is going to affect cryptocurrency negative because they are trying to take us back to the centralized transactions type that bitcoin and blockchain technology is trying to abolish! However, I still believe that bitcoin will find it way out at the end.

[gentlemand]

I will not deny the fact that the introduction of this Facebook coin or globalcoin and gpmcoin is going to affect cryptocurrency negative because they are trying to take us back to the centralized transactions type that bitcoin and blockchain technology is trying to abolish! However, I still believe that bitcoin will find it way out at the end.

I think the effect is neutral/positive.

It won't tempt anyone out of crypto who's already in it. It may open some minds that otherwise wouldn't have been opened and they'll give the real deal some thought.

The reason most people are in crypto is to make more dollars. That's not an option with this. There really isn't very much overlap at all.

[thecodebear]

I will not deny the fact that the introduction of this Facebook coin or globalcoin and gpmcoin is going to affect cryptocurrency negative because they are trying to take us back to the centralized transactions type that bitcoin and blockchain technology is trying to abolish! However, I still believe that bitcoin will find it way out at the end.

I think the effect is neutral/positive.

It won't tempt anyone out of crypto who's already in it. It may open some minds that otherwise wouldn't have been opened and they'll give the real deal some thought.

The reason most people are in crypto is to make more dollars. That's not an option with this. There really isn't very much overlap at all.

Agreed completely.

Let's be honest here, the primary motivator for getting into Bitcoin at this point in its history is its sound money design - deflationary and therefore huge price gains with adoption. It doesn't make much sense for most people to spend it until the market (read: price) has matured. People buy bitcoin as an investment, and that's ok. Once trillions of dollars are held in bitcoin and the market has matured, then it become natural for people to start spending their bitcoin. Plus 99.9% of merchants won't directly accept Bitcoin anyway, they'll use bitcoin merchant services that convert the bitcoin to fiat for them, so really stablecoins are where they merchant action will be directly, as Bitcoin will only have indirect merchant adoption. I am more and more seeing Bitcoin's prime value proposition as being its sound money design that makes it a great investment and store of value and hedge and censorship-free, spending is secondary and only becomes more prominent when the market matures and even then it makes sense to convert spending money into a stablecoin and to prevent volatility while keeping anything you don't plan on spending in the mid-term in bitcoin.

Libra is a stablecoin, so it doesn't compete at all with bitcoin for adoption. Of course it competes on spending and exchanging money between people, along with credit cards, payment apps, apple/google pay, wire services, bank transfers, etc. But nobody is going to be hoarding their money in Libra because there is no point, it isn't a place you store value. They're only gonna put money in it if they plan to spend it. I think it mostly directly competes with something like Venmo. I feel questionable about it being used with merchants outside of the facebook ecosystem, but I guess we'll see. I see it mostly as facebook integrating a cryptocurrency for Venmo features like they made stories or whatever to compete with Snapchat.

Since the code will be open source that means crypto exchanges could make Libra wallets and add it to their platforms. This could potentially add a huge onramp for people getting into Bitcoin. So ultimately, like you said I see this as a neutral/positive thing for Bitcoin and crypto in general.

[gentlemand]

One of the most interesting and potentially alarming things is that we get fast tracked into finding out what governments REALLY feel about something crypto esque and it's not even anywhere near the full fat version.

They've suddenly had a muscular proposition land in their laps from nowhere and so far they don't seem too jolly.

[guoyu78]

I don't really care about JPM coin and it was already hated and it won't succeed. But talking about Fbcoin, I feel already going crazy on what is going to happen when it gets release and listed. I know that many whale traders or rich traders group will use this opportunity to ride its wave and pump a lot of the digital assets. Just imagine that magic of Fb's Globalcoin getting paired not just with btc but also with the several top altcoins.

I already see disappointment for those who think they can use Facebook coin to make money. There is need to start having it in mind by any investor that the same way they are not able to use stable coin for investment unlike volatile coins like Bitcoin and the rest is the same way they might not be able to use Facebook coin for investment, other than they purchase it for internal use if they have any business deal with Facebook, or just use it to keep the value of their crypto equivalent a fiat because Facebook coin will not be so different from tether which will certainly be pegged to either USD or any other currency without having any price fluctuation, so I do not see how the whales can benefit in it.

[TheGreatPython]

I think the JPM is not making a coin but making a blockchain system for their bank which is totally different than a coin.
After all everyone likes to use blockchain nowadays because of the help they are getting making things easier and faster, even cheaper.

However facebook is actually making a new coin which is global coin and we still don't know what it will be used for and why they are creating one however knowing that mark zuckerberg is a person who likes to test out new stuff maybe its just an experiment, I mean dude tried to recreate jarvis from iron man movies in real life ffs, so this could all be "lets check it out" and nothing serious. However even with those two becoming a reality there is no problem with the cryptocurrency ecosystem since the coins you like that are decentralized and what we are used to as real crypto are still around and anything new wouldn't change that.

[RealMalatesta]

Satoshi's vission will still be alive once we begin to see DEX are better to use than those CEX. With the hacks of exchanges that has been going on every year, not all of them are confirmed hack but probably self claimed hack.Though not proven, its all clear that centralize exchange may not really work when certain authority is centered to one. The ecosystem shall be for the P2P and DEX will one day rule the crypto market.

I think those self-acclaimed hack is only a strategy developed also by scammers to swindle traders of their money since they know that they are running a system where information cannot be verified when they do so, and I believe that it will be impossible for reputable exchanges to do so deliberately knowing fully well that it could damage their reputation, so in a case like that of Binance that happened recently, this type of hacking cannot be a self-acclaimed one.

I believe that in other to guide against this hacking for future occurrence is why they are launching DEX which might be a major boost for the recognition of DEX.

[klaaas]

However facebook is actually making a new coin which is global coin and we still don't know what it will be used for and why they are creating one

Why not?  Fast integrated payments pegged to there stable coin for the companies that are joining the project. Facebook credits running on a blockchain.

[jonatuzc]

Libra Coin (the cryptocurrency from Facebook) may be launched sometime in 2020, and there is a good chance that its launch might be delayed. Till now, JPM has not given any fixed date for the launch of its coin. So we still have approximately one year left (or maybe more). And by that time Bitcoin may climb to a new ATH and these coins may lag far behind.

This name you mentioned, I really don’t know where you got the name from mate, from the record I have, Facebook is yet to declare their coin m=name and most of the name with have been seen such as fbcoin, global coin, and this your libra coin, does not exist, so I will implore that we really wait for them to confirm the name officially before we start promoting information that is not verified.

I don’t really see any of these two coins becoming that popular even if they release their coin before bitcoin reaches its ATH, because these coins in question can only be internalutility coins, and will not be much useful for the general public.

[stellgod]

"On the one hand, these are amazing developments that validate blockchain technology and its potential as a currency system, however, they are also drifting us away from the original vision of a decentralised monetary system. In February 2009, Satoshi wrote on a P2P online forum:

'The root problem with conventional currency is all the trust that’s required to make it work…but the history of fiat currencies is full of breaches of that trust'”

Taken from the article linked below, worth reading. Do you think the emergence of banking and corporate digital currencies will take away from the original cryptocurrencies or can they live in harmony?

https://medium.com/@marcus_61942/decentralised-cryptocurrencies-vs-digital-currencies-3811e36cc94f

I think these ones are already old news by now. The only thing people are talking about this time around is the Facebook Libra coin. There's been lots of news going round since Facebook released the white paper for their libra coin and a lot of people has been the coin is going to bring a lot of changes in the crypto world and is going to compete with Bitcoin and Ethereum. I don't know if that is true, sometimes these coins just get hyped for nothing and when they get released they end up being something else.

[joshy23]

"On the one hand, these are amazing developments that validate blockchain technology and its potential as a currency system, however, they are also drifting us away from the original vision of a decentralised monetary system. In February 2009, Satoshi wrote on a P2P online forum:

'The root problem with conventional currency is all the trust that’s required to make it work…but the history of fiat currencies is full of breaches of that trust'”

Taken from the article linked below, worth reading. Do you think the emergence of banking and corporate digital currencies will take away from the original cryptocurrencies or can they live in harmony?

https://medium.com/@marcus_61942/decentralised-cryptocurrencies-vs-digital-currencies-3811e36cc94f

I will not deny the fact that the introduction of this Facebook coin or globalcoin and gpmcoin is going to affect cryptocurrency negative because they are trying to take us back to the centralized transactions type that bitcoin and blockchain technology is trying to abolish! However, I still believe that bitcoin will find it way out at the end.

Bitcoin will e differ and whatever this businesses wanted to bring it back to the natural way of payment transactions bitcoin will continue to survive being
decentralized and not be oblige to adopt this centralized process, but only time will tell if what will be the right impact of this new added projects.

[maxreish]

Nothing special about those coins. JPM coin and FB coin (if that will be the name since they haven't declare it yet) are still altcoins, the only difference is the objective of there projects. They are just from a famous people that is why we just thought they are special but the truth is they are just some alternative coin that may still follow btc's path. Just like some other altcoins, they will bring any impact on the crypto space.

[FanEagle]

I think the facebook libra will have a positive impact on us if I understood it properly. Now from what I heard so far that the name will be Libra and they are considering making it a stablecoin as well which means that it will be like usdt for example which is still a blockchain technology based thing but pegged 1 to 1 which is still acceptable.

I normally do not like stablecoins because I have hard time believing the one to one ratio thing but considering now it will be done by Facebook there is a high chance they are actually going to pull it off and have a 1 to 1 because they are literally worth hundreds of billions of dollars with three amazing huge companies. I think if we just show them support on this we can have a proper stablecoin unlike all other scam ones.

[fiulpro]

It is backed up plus it has all the benefits that a cryptocurrency should have that means it will be beneficial for the Long haul and At the same time it is going to improve the people's perception as a whole , actually we suffer from major misconceptions about the Bitcoins , people don't think that it is something that needs attention.

This way we could actually increase our public popularity and thus gain investors therefore I think this will be good.

Don't take it as a competition. Take it as a healthy completion '

[thecodebear]

I'm not going to buy FB Coin and indulge in a centralized cryptocurrency. I will invest in cryptocurrency currencies that meet the standards of understanding the first cryo enthusiasts.

I personally don't see how they will convince anyone in a first world country to use Libra. Libra doesn't have enough of the benefits of something like Bitcoin to get people to buy in, especially since it is a stablecoin. It won't appreciate, it isn't a hedge against economy, it isn't decentralized or trustless, it isn't borderless, it isn't censorship resistant, it exists within the established currency regulatory framework so it isn't protected from having funds or accounts frozen. It's a bank account in a cryptocurrency package, which does indeed have advantages over the legacy digital fiat system, but I don't see people being like "oh i should move my money into Facebook/Libra".

I get the "banking the unbanked" use case or store of value for those in countries with a currency that is being rapidly devalued. Bitcoin currently serves that use case but a stablecoin would make more sense for people's savings, while Bitcoin could still serve as an investment for those in countries where they can't trust the government to not rapidly debase their fiat. Still though, they'd have to set up Libra ATMs in all these unbanked places, but there is nothing really special about that, any bank could do the same by setting up a cryptocurrency and doing the same.