- Libra is a low volatility cryptocurrency
- This stable currency has a "real asset" reserve support
- Libra blockchain will use a programming language called Move to implement smart contract functionality
The goal of the Libra blockchain is to start in a semi-centralized state, similar to EOS's DPoS (Certificate of Attribution) consensus mechanism (currently EOS has 21 verification nodes). However, unlike EOS, the Libra Association plans to increase the number of verification nodes in the Libra blockchain to 100 by 2020, and then achieve a license-free (decentralized) state within 5 years (then thousands of nodes) .
In the early stages, Facebook will play a leading role and plan to reduce its influence to a level comparable to any other node on the network in the future.
- Interview with Vitalik, see him talk about Ethereum 3.0, Libra, central bank digital currency, zero-knowledge proof
However, with the launch of Libra's Calibra Wallet  (Calibra is a Facebook subsidiary), Facebook will play a key role in the broader ecosystem .
But despite this, the Libra blockchain itself is indeed open source, opening up space for competitors in the Calibra wallet on the market. Although competing with it can be challenging, the Calibra wallet will be integrated into Facebook's closed source platforms such as WhatsApp, Instagram and Messenger.
The goal of Mark Zuckerberg (Facebook founder and CEO) is ambitious. The company not only creates a cryptocurrency and interface “from scratch”, but the Libra Association will also be tasked with managing the legal currency reserves of the stable currency, and will face global regulatory barriers at any time. But these challenges may be well handled. Facebook has far more resources than any other blockchain platform, which brings us to how Libra will impact Ethereum, the world's largest smart contract platform .
Libra vs Ethereum
More simply, "real assets" are like a series of security holes. Bitcoin is the native asset of its public blockchain, and anyone in the world can do it at a very low cost (if you are willing to believe that any of the thousands of nodes that have performed these audits, you don't need any cost at all) Conduct an audit. Ethereum is similar to Bitcoin in this respect, so Libra does not pose a short-term threat to Ethereum .
There may also be a token standard like the ERC-20 of Ethereum or a cryptocurrency collection like ERC-721 on the Libra blockchain . In this regard, the biggest difference between the two parties is the user base: developers on the Libra blockchain will have instant access to potentially billions of live users, while Ethereum has only a few hundred thousand. This is a big attraction, especially for those who want to create profitable dApp developers in a mainstream audience.
The biggest problem here is (you may have noticed it), and from the current stage, these are just possibilities . Libra's goal is 1,000 transactions per second (about half of Visa), which requires (according to current research) the centralization of the Libra platform . Because nodes want to agree on such a large volume of transactions per second, they will need to use proprietary software that ordinary users cannot access.
Nick Johnson, the core developer of Ethereum, also found a problem in Libra's technical white paper.
The situation of Ethereum
While the nodes on the Libra blockchain are also expected to receive interest on the currency reserves of the stable currency, Ethereum's staking rewards will be open to everyone in the world, and staking pools will enable the entire staking process. It's even simpler . This openness of Ethereum is likely to attract a large number of verifiers, thereby increasing the decentralization level of the entire network.
In addition, ETH is a speculative asset. As the value of the Ethereum network grows, so does the value of ETH . This has a strong influence on those who "participate in the game." Developers with ETH will receive indirect rewards for their contributions to the network. In addition, users with ETH assets will effectively become the marketing tool for the Ethereum blockchain, making Ethereum more and more attractive.
Considering the lack of investment value of Libra Stabilizer, especially if it will flow without friction between assets, it is hard to imagine anyone with Libra tokens paying special attention to Libra's success . Not only that, but Libra will also find that its corporate image is difficult to shake, leading to further ambivalence. In contrast, Ethereum's vision is even more compelling, and for those involved, it has a potentially huge upside advantage (investment value) , which Libra does not.
Microsoft and Google don't have any news
Author | Nick
Compile | Jhonny