Can Libra Disrupt The Financial/Economic System?

[elisabetheva]

We cannot ignore who and what is behind Libra. but I strongly believe that influence clearly exists and can be good or bad. but until now I cannot be convinced that it will affect the crypto and its bitcoins. because it is not easy to change the trust that has been established even though by a large company that supports Libra behind it.
everything will go on as usual and only small ripples will occur.

[1714629065]

1714629065

[Burogh]

Lately, there is a big buzz and fuzz on the introduction of the new cryptocurrency (some called it as fake) called as Libra which is under the leadership and influence of the people behind the Facebook social media conglomerate. What resembled like a circus, politicians and other known personalities expressed apprehension that what Libra can bring will put the global financial and economic system under jeopardy and control of a select few men which I assumed the public don't trust.

But I am wondering...is Libra really that potent that it can disrupt the currency financial system or are these people just imagining things which will never happen anyway? Are we ascribing power and influence on Mark Zuckerberg that can turn out to be a dud later?

It is likely to disrupt the role of the central bank. If Libra Coin is used by people around the world through the Facebook platform, the role of the central bank as an intermediate will be disrupted but in my opinion it will not interfere with the economic system

[Ayiranorea]

Libra is something same as the stablecoin, and it gains more potential through its backing from facebook. For a long time facebook was doing a research on the need for cryptocurrencies and the way it can be functional without flaws. There is nothing to panic thinking about the economic system that's been used around. Libra is just a supportive platform, and this gives ease in the accessibility and the same isn't gonna make any big impact over the economic system.

[bitbunnny]

I don't think that Libra has such power. Although it's a kind of stable coin that is backed up by Facebook and some financial institutions it is not formaly introduced into financial system and can't disrupt it. I think that Libra is given much importance and power than in reality actually has. I don't expect that Libra will have some significant influence on anything, not just financial system.

[hulla]

I don't think that Libra has such power. Although it's a kind of stable coin that is backed up by Facebook and some financial institutions it is not formaly introduced into financial system and can't disrupt it. I think that Libra is given much importance and power than in reality actually has. I don't expect that Libra will have some significant influence on anything, not just financial system.

I also agreed with what you said but the governments don't see it that way since Libra coin was said to be pegged and issue in many national currencies. Mind you, they are once against bitcoin due to its potentials before some of them started to give in but I think we need to wait for the result of the meet which the lawmaker wants to have with the Libra team in Switzerland to see if they will also give in.

[EdenHazard]

I don't think that Libra has such power. Although it's a kind of stable coin that is backed up by Facebook and some financial institutions it is not formaly introduced into financial system and can't disrupt it. I think that Libra is given much importance and power than in reality actually has. I don't expect that Libra will have some significant influence on anything, not just financial system.

I also agreed with what you said but the governments don't see it that way since Libra coin was said to be pegged and issue in many national currencies. Mind you, they are once against bitcoin due to its potentials before some of them started to give in but I think we need to wait for the result of the meet which the lawmaker wants to have with the Libra team in Switzerland to see if they will also give in.

This libra thing advertised very simple as a global currency while the actual is complex. How could a single digital currency used as one central payment gateaway without breaking each country regulation? I would'nt call it as a form of cryptocurrency at all.

The only thing disruptive is when authorities around the world giving facebook a discretion to use libra at their own territory without giving any benefit to each country such as tax , fee or something because everyone knows the libra concept is centralized just like a conventional bank and banks do takes fee . So no , nothing seems disruptive as long as libra did not runs in completely decentralized which could for real makes the function of conventional banks disappear as time goes by. It's a bit complex.

[STT]

Can Libra Disrupt The Financial/Economic System?

Libra is only a FIAT basket of other currencies.   The factor which disturbs some at least a little is that its not just a dollar clone like Paypal but so widespread it could feasibly alter the daily spending habits of many to reflect a new order that is not already true in the global reserve currency system.

So disrupt is a big word, it might highlight some difficulties already existing.   I think its only a really small part, it might draw attention.

[silversurfer1958]

This is my thinking and my own perspective on this issue.
Why are people so negative about Libra's development? The US government only sees Libra's huge development, so it wants them to come up with reasonable and transparent plans, otherwise they have to cut it to make it reasonable.
and when they failed to convince the US government, they still developed as a normal business and provided a more extensive payment service on a small scale.
businesses are born to make services better. Why do we think it can disrupt the financial system?

[Williams_Leo]

This is my thinking and my own perspective on this issue.
Why are people so negative about Libra's development? The US government only sees Libra's huge development, so it wants them to come up with reasonable and transparent plans, otherwise they have to cut it to make it reasonable.
and when they failed to convince the US government, they still developed as a normal business and provided a more extensive payment service on a small scale.
businesses are born to make services better. Why do we think it can disrupt the financial system?

Agree, I don't think libra will destroy the finance of the world or any country because we should look at bitcoin, its value and growth is still very fast but until the end, the impact on finance in a large area is very little, Libra with the role of a latecomer, it may be more developed but unfortunately, it will be under the management of the governments of the countries. Countries only allow libra to be spread to some extent, a level that does not affect the balance of finance, exceeding the limit will cause the government to launch a mechanism of destruction

[Mahanton]

I don't think that Libra has such power. Although it's a kind of stable coin that is backed up by Facebook and some financial institutions it is not formaly introduced into financial system and can't disrupt it. I think that Libra is given much importance and power than in reality actually has. I don't expect that Libra will have some significant influence on anything, not just financial system.

I also agreed with what you said but the governments don't see it that way since Libra coin was said to be pegged and issue in many national currencies. Mind you, they are once against bitcoin due to its potentials before some of them started to give in but I think we need to wait for the result of the meet which the lawmaker wants to have with the Libra team in Switzerland to see if they will also give in.

This libra thing advertised very simple as a global currency while the actual is complex. How could a single digital currency used as one central payment gateaway without breaking each country regulation? I would'nt call it as a form of cryptocurrency at all.

The only thing disruptive is when authorities around the world giving facebook a discretion to use libra at their own territory without giving any benefit to each country such as tax , fee or something because everyone knows the libra concept is centralized just like a conventional bank and banks do takes fee . So no , nothing seems disruptive as long as libra did not runs in completely decentralized which could for real makes the function of conventional banks disappear as time goes by. It's a bit complex.

Adding up, government wont really like for a coin like this can move freely on its own.They do the current condition of crypto market yet this Libra is heavily centralized though
but I cant see a reason why would it be disruptive on some manner. Tax is a possible cause for government to think off on going against it.Until now we haven't seen any updates in relation to it.

[Sozialtourist]

I can see that a lot of users here have misconceptions about Libracoin. Let me clear them. First of all, Libra is very different from Bitcoin. While the latter is a decentralized cryptocurrency outside the fiat system the former is something which can be included within the fiat system and centralized. Bitcoin is something which is capable of disrupting the mainstream financial/economic system, since it is outside the fiat currency environment. But no such threat comes from Libra, as it is part of this environment.

And on top of that Libra is just another stable coin. People seem to think Libra is the next HUGE investment opportunity. It's not! It's just a centralized coin, controlled by a company that invades your privacy like nothing else (besides maybe Google).

[suzanne5223]

I can see that a lot of users here have misconceptions about Libracoin. Let me clear them. First of all, Libra is very different from Bitcoin. While the latter is a decentralized cryptocurrency outside the fiat system the former is something which can be included within the fiat system and centralized. Bitcoin is something which is capable of disrupting the mainstream financial/economic system, since it is outside the fiat currency environment. But no such threat comes from Libra, as it is part of this environment.

And on top of that Libra is just another stable coin. People seem to think Libra is the next HUGE investment opportunity. It's not! It's just a centralized coin, controlled by a company that invades your privacy like nothing else (besides maybe Google).

Only people who don't study and understand the Libra coin whitepaper concept will think Libra is the next big thing to invest in other to earn some multiple profits but there's a chance for the coin early investor to buy it cheap though which I believe this is not meant for original/common people.

[hulla]

I don't think that Libra has such power. Although it's a kind of stable coin that is backed up by Facebook and some financial institutions it is not formaly introduced into financial system and can't disrupt it. I think that Libra is given much importance and power than in reality actually has. I don't expect that Libra will have some significant influence on anything, not just financial system.

I also agreed with what you said but the governments don't see it that way since Libra coin was said to be pegged and issue in many national currencies. Mind you, they are once against bitcoin due to its potentials before some of them started to give in but I think we need to wait for the result of the meet which the lawmaker wants to have with the Libra team in Switzerland to see if they will also give in.

This libra thing advertised very simple as a global currency while the actual is complex. How could a single digital currency used as one central payment gateaway without breaking each country regulation? I would'nt call it as a form of cryptocurrency at all.

The only thing disruptive is when authorities around the world giving facebook a discretion to use libra at their own territory without giving any benefit to each country such as tax , fee or something because everyone knows the libra concept is centralized just like a conventional bank and banks do takes fee . So no , nothing seems disruptive as long as libra did not runs in completely decentralized which could for real makes the function of conventional banks disappear as time goes by. It's a bit complex.

I believe the part of a single digital currency to be a global currency which may so break some country rules and regulations was the reason why the governments and the lawmakers think Libra coin will be a threat to the economic system.

whereas the world economy is overheated already.

Until now we haven't seen any updates in relation to it.

It too early for us to hear any update about this type of situation cause it something that concern deep thought and to win over the governments and lawmakers is not some easy.

[Abiky]

The Libra project actually has a lot of partners and they have raised enough funds, they are about to launch Libra coin but the US government has stopped this.
Libra needs to go through an arduous hearing to formally decide whether or not to make a billion-dollar business.
The future is unpredictable, so we need to wait for more information from it.

That's certainly true, mate. While Libra may have the required funding for launch, it still has a barrier that needs to overcome (which is the US government). It'll be a hard time for Facebook trying to comply with every single regulation worldwide, especially when governments are already opposing its launch. The vision of "banking the unbanked" by Facebook might not become a reality anytime soon if the launch of Libra becomes a complete failure. The technology is there in order to help Libra reach people all over the mainstream world. But without the proper acceptance from governments worldwide, it could become a completely useless cryptocurrency. Still though, it may be too early to tell what the outcome will be for Libra by 2020.

Things aside, Libra's aim is to disrupt the way we send money to people worldwide by relying on the stableness of the US Dollar, combined with the benefits of well-known cryptocurrencies like Bitcoin and Ethereum. Facebook's ambitions may be grand, but it still has a long way to go. Even if Libra doesn't make it up towards launch, another cryptocurrency might fulfill its vision within the future. Perhaps, another mainstream company will develop a digital currency of its own, or maybe governments worldwide will finally do the switch from physical to digital cash. Whichever way it is, Blockchain will certainly disrupt our economic system one way or the other.

Nonetheless, Libra's status as a stablecoin will look more like a "digital US Dollar" instead of a real cryptocurrency. Which is why, I believe that it's unlikely that it'll truly disrupt our economic system in every way. In the end, the Blockchain holds better promise of doing this within the future. Just my opinion

[bryant.coleman]

I can see that a lot of users here have misconceptions about Libracoin. Let me clear them. First of all, Libra is very different from Bitcoin. While the latter is a decentralized cryptocurrency outside the fiat system the former is something which can be included within the fiat system and centralized. Bitcoin is something which is capable of disrupting the mainstream financial/economic system, since it is outside the fiat currency environment. But no such threat comes from Libra, as it is part of this environment.

It's because they thought that Libra is really a threat to Bitcoin, when they hear crypto, what comes to their mind is that Facebook will join the crypto-verse, and thanks for clearing that up and I do hope that members here realised by Libra coin is. There's so much hype in this coin that people really didn't understand. It's a centralised coin, like XRP, which we know has a lot of hate in this community. And even XRP didn't pose a threat although there was this so called "Rippening" (https://news.bitcoin.com/rising-ripple-threatens-usurp-bitcoin-ushering-rippening/), but wasn't successful in the long run.

For some time at least, XRP successfully managed to fool a section of the cryptocurrency users. On multiple occasions in 2017 and 2018, XRP had even surpassed Ether to become the no.2 cryptocurrency (in terms of market capitalization). It is so sad to see so many users falling into the trap set by Ripple and investing their hard earned savings on a shitcoin.

I have always believed that XRP was the biggest scam ever pulled out in the world of cryptocurrencies. Out of the total supply of 100 billion tokens, only around 9 to 10 billion are being held by individual users with no connection to the founders and promoters. All the remaining is being held by the founders (either directly or indirectly) including Chris Larsen and Jed McCaleb.

[SquallLeonhart]

This is my thinking and my own perspective on this issue.
Why are people so negative about Libra's development? The US government only sees Libra's huge development, so it wants them to come up with reasonable and transparent plans, otherwise they have to cut it to make it reasonable.
and when they failed to convince the US government, they still developed as a normal business and provided a more extensive payment service on a small scale.
businesses are born to make services better. Why do we think it can disrupt the financial system?

Funny thing, it was just one person that probably started this thinking and many people started towing the line also without think of it deeply and seeing how it can really disrupt their financial system, and I don’t think that Facebook is ever proposing a global currency, if it was proposing a global currency, they would could say that it would disrupt the system a bit, I mean the financial flow chart, which means government would have to change a whole of their policy that is governing fiat which would really be a very tedious thing.

What I feel that Facebook is juts creating is a system that is very similar to already existing cryptocurrency payment plans, and also would serve as a payment system for their own business platform which has generated so much money for the government also.

[EdenHazard]

This libra thing advertised very simple as a global currency while the actual is complex. How could a single digital currency used as one central payment gateaway without breaking each country regulation? I would'nt call it as a form of cryptocurrency at all.

The only thing disruptive is when authorities around the world giving facebook a discretion to use libra at their own territory without giving any benefit to each country such as tax , fee or something because everyone knows the libra concept is centralized just like a conventional bank and banks do takes fee . So no , nothing seems disruptive as long as libra did not runs in completely decentralized which could for real makes the function of conventional banks disappear as time goes by. It's a bit complex.

Adding up, government wont really like for a coin like this can move freely on its own.They do the current condition of crypto market yet this Libra is heavily centralized though
but I cant see a reason why would it be disruptive on some manner. Tax is a possible cause for government to think off on going against it.Until now we haven't seen any updates in relation to it.

That's what i mean, a single currency used globally won't be easy crystallized. Any government would stand for their own currency instead easily allow other currency like libra to get in their territory.
The last news I heard about libra that they need a bank charter ... Facebook libra need to become a bank otherwise they are against bank regulations , Facebook libra might failed to launch, the system always prevent innovation.

[Mahanton]

This libra thing advertised very simple as a global currency while the actual is complex. How could a single digital currency used as one central payment gateaway without breaking each country regulation? I would'nt call it as a form of cryptocurrency at all.

The only thing disruptive is when authorities around the world giving facebook a discretion to use libra at their own territory without giving any benefit to each country such as tax , fee or something because everyone knows the libra concept is centralized just like a conventional bank and banks do takes fee . So no , nothing seems disruptive as long as libra did not runs in completely decentralized which could for real makes the function of conventional banks disappear as time goes by. It's a bit complex.

Adding up, government wont really like for a coin like this can move freely on its own.They do the current condition of crypto market yet this Libra is heavily centralized though
but I cant see a reason why would it be disruptive on some manner. Tax is a possible cause for government to think off on going against it.Until now we haven't seen any updates in relation to it.

That's what i mean, a single currency used globally won't be easy crystallized. Any government would stand for their own currency instead easily allow other currency like libra to get in their territory.
The last news I heard about libra that they need a bank charter ... Facebook libra need to become a bank otherwise they are against bank regulations , Facebook libra might failed to launch, the system always prevent innovation.

That's one of a hell kind of requirement being asked on. Becoming a bank? Pretty sure that FB wont tend to dive it out and for sure they wont consider on pursuing to comply on whats being asked but somehow Binance might get the 1st spot: https://cointelegraph.com/news/binance-reveals-venus-its-own-project-to-rival-facebooks-libra

[davinchi]

It is not being negative about Libra, its a sort of PR work from people who know what Libra is towards people who have no idea what Libra is but this is people who are trying to tell people they are wrong what they think Libra will be like so it looks like negative view.

For example, some people think facebook will be creating a coin and they want to invest so they can make more money later on when libra goes up, this is wrong because Libra will be a stablecoin where it would be used towards sending money around the world, now this looks like "negative" because you are telling people you can't make money with it but its not because it just tries to explain to people what Libra will be like and help them understand, that is why its not negative and just helpful tips.

[deisik]

For example, some people think facebook will be creating a coin and they want to invest so they can make more money later on when libra goes up, this is wrong because Libra will be a stablecoin where it would be used towards sending money around the world, now this looks like "negative" because you are telling people you can't make money with it but its not because it just tries to explain to people what Libra will be like and help them understand, that is why its not negative and just helpful tips

Well, technically, this is not quite correct

If internally Libra will be pegged to a basket of major currencies (like dollar, euro, etc), you could still earn some dough off it, though definitely not in the way many people here are used to (simple buy, hold and wait until it rises x times won't work). Besides, if it will be circulating freely within the two worlds (fiat and crypto) and more like cryptocurrencies (i.e. with no banks and their insane policies involved), it may turn out to be a damn good device after all for hedging the value of cryptocurrencies, which exists outside the crypto domain itself (read, it could potentially be a lot better that the plain vanilla US dollar)