Do you know Facebook's car, and there are 71 empty seats?

Facebook shares have climbed 40% this year.

At 17 o'clock in Beijing time today, the Internet social giant Facebook (stock code: FB.NASDAQ) cryptocurrency project Libra official online line, and released the Libra project white paper (click to view) .

According to the white paper, Libra's mission is to create a simple, borderless currency and financial infrastructure that serves billions of people.

As of press time, Facebook's stock price was temporarily reported at $189.01, and today's gain was 4.24%. Since the beginning of this year, Facebook's share price has risen by more than 40%.

The Odaily Planet Daily is the first time to sort out relevant points for readers.

1. Stabilizing coins that are not "linked" to a single currency

As mentioned in the white paper, the Libra blockchain native currency is called “Libra” and is a stable digital cryptocurrency.

Users with Libra can exchange their own Libra for local currency at the exchange rate.

However, Facebook emphasizes that Libra is not "linked" to a single currency. “As the value of the underlying asset fluctuates, the Libra value, which is denominated in any local currency, may also fluctuate.”

Each newly created Libra cryptocurrency is backed by a basket of bank deposits and short-term government bonds with corresponding value in the Libra reserve.

There are two sources of reserves: one from Libra's early investors and the other from Libra users. After obtaining the legal currency, in order to preserve the capital, the association will only invest in bonds issued by the government that are unlikely to default and are unlikely to have high inflation. In addition, the association will invest in multinational government bonds to reduce risks.

However, Facebook has not announced the number of specific reserve assets, reserve types, reserve addresses, and custodians.

In addition, interest on Libra's reserve assets will be used to pay for the cost of the system, to ensure low transaction costs, and dividends to investors in the early stages of ecosystem startup. Libra users will not receive returns from reserve assets.

2. There are still 71 places in the Libra Association.

Libra's highest authority is the Libra Association.

According to the white paper, the Libra Association is headquartered in Geneva, Switzerland and is an independent non-profit membership organization. Switzerland has always been neutral to the global market. With a population of only 200,000, more than 200 international organizations are stationed. Naturally, Geneva is also open to blockchain technology.

The Libra Association is governed by the Libra Association Board of Directors, which is composed of a single representative from each of the verifier nodes. The Librarian Association's current Certifier node is 29 partners from a diverse background:

  • Payment industry: Mastercard, PayPal, PayU (Naspers' fintech arm), Stripe, Visa;
  • Technology and trading platforms: Booking Holdings, eBay, Facebook/Calibra, Farfetch, Lyft, MercadoPago, SpotifyAB, Uber Technologies, Inc.;
  • Telecommunications: Iliad, Vodafone Group;
  • Blockchain industry: Anchorage, Bison Trails, Coinbase, Inc., Xapo Holdings Limited;
  • Venture capital: Andreessen Horowitz, Breakthrough Initiatives, Ribbit Capital, Thrive Capital, Union Square Ventures;
  • Non-profit organizations, multilateral organizations, and academic institutions: Creative Destruction Lab, Kiva, Mercy Corps, Women's World Banking.

The white paper stipulates that all decisions will be made through the board of directors, and that two-thirds of the members will vote for the major policy or technical decision, which is the absolute majority of the network members required in the BFT consensus agreement.

As for the Libra Association's affairs, the white paper shows that the Libra Association will:

  • Assisting Libra blockchain operations, including in the coming months, the association will collect feedback from the community on the Libra blockchain prototype; build well-documented APIs and libraries to enable user interaction with the Libra blockchain Use an open source approach to create a framework for collaborative technology development behind the Libra blockchain. We will establish appropriate procedures for discussing and reviewing changes to the underlying protocol and software for the blockchain.
  • Coordinate various stakeholders (the network's verifier nodes) to agree on the process of promoting and expanding the network;
  • While managing reserve assets, only the Libra Association can manufacture (mint) and burn (burn) Libra. Of course, the Libra Association has the final decision-making power of Libra.

An important goal of the Libra Association is to gradually increase the degree of decentralization.

This year, Facebook will play a leading role; by the first half of 2020, the Libra Association will expand the number of members to around 100, with all members serving as the initial certifier node for the Libra blockchain. Within five years, the Libra Association will gradually reduce its reliance on founders.

3. Libra will eventually become a non-licensed blockchain

The blockchain is divided into a "licensed blockchain" and a "non-permitted blockchain", which is determined based on whether the entity can access the blockchain platform as a verifier node. In a "licensed blockchain", an entity runs a certifier node by means of privilege granting; in an "unlicensed blockchain", any entity that meets the technical requirements can run a certifier node.

As mentioned in the white paper, Libra will start in the form of a licensed blockchain and transition to an unlicensed model. The transition is carried out by the Libra Association and will begin within five years of the public release of the Libra blockchain and ecosystem.

It is worth noting that the Libra blockchain will be open to everyone, whether licensed or unlicensed.

4. Libra's original Move language

The technical design of the Libra blockchain is also mentioned in the white paper:

  • Design and use the Move programming language.
  • Use the Byzantine Fault Tolerance (BFT) consensus mechanism.
  • Adoption and iteration to improve the widely used blockchain data structure.

“Move” is a new programming language for implementing custom trading logic and “smart contracts” in the Libra blockchain; Move is designed to prevent digital assets from being copied; the Move language can automatically verify that a transaction meets a particular Properties; Move can help keep the Libra blockchain secure. Facebook expects to open the right to create contracts to developers after a period of time.

The Libra blockchain uses a BFT mechanism based on the LibraBFT consensus protocol to achieve agreement between all certifier nodes on the transactions to be executed and their execution order. This approach builds trust in the network because the BFT consensus protocol is designed to ensure that the network is functioning properly even if some of the verifier nodes (up to one-third of the network) are corrupted or fail.

The data in the Libra blockchain is protected by the Merkel tree and can detect any changes in existing data. In addition, the Libra blockchain is a single data structure that records transaction history and status over time. This implementation simplifies the workload of applications accessing the blockchain, allowing them to read any data from any point in time and verifying the integrity of the data using a unified framework.

The Libra blockchain follows anonymity and allows users to hold one or more addresses that are not related to their true identity. The Libra Association will oversee the evolution of Libra blockchain protocols and networks and will continue to evaluate new technologies that enhance blockchain privacy protection, taking into account their usefulness, scalability and regulatory impact.

5. Which partners is Libra recruiting?

According to the white paper, the Libra Association is recruiting a managing director (functioning similar to the chairman) and will then work with the person to form the executive team of the association.

In addition, the Libra Association is recruiting a wide range of support positions: as the founder of the verifier node; the people/organizations that fund the rapid start-up of the ecosystem; designing and implementing incentive programs to drive Libra to be widely adopted (including A person who issues such incentive bonuses; a person who establishes a social impact funding program in the name of the association.

In the final plan, the Libra Association stated that it will select social influence partners and work with them to establish social impact advisory committees and develop social impact plans.

Author: Xue Jiao, Qin Xiaofeng

Source: Planet Daily

Original article; violation of the law will be investigated.