“The goal of the Libra blockchain is to provide a solid foundation, including a new global currency, to support financial services that can meet the daily financial needs of billions of people,” the Libra white paper states .
While Novi.com is billed as “a connected wallet for a connected world” and is under construction.
Facebook is joining the Libra Association through a new subsidiary, Novi, which will build financial services for Libra. Novi’s first product will be a digital wallet for Libra, which will be available on Messenger, WhatsApp and as a ‘standalone app,’ according to the announcement.
“Novi will be regulated like other payment service providers. Any information you share with Novi will be kept separate from that which you share on Facebook,” said Mark Zuckerberg, CEO of Facebook.
According to him, “Right from the start, Novi will allow you to send Libra to almost anyone with a smartphone, at no additional cost.”
“Over time, we hope to offer more services to individuals and businesses – for example, paying bills at the push of a button, buying coffee by scanning a code, or using local public transport without carrying cash or a metro ticket “he adds
The CEO promised that the project would offer protection against fraud, “so if you lose your Libra tokens, we’ll refund you.”
Libra has three parts:
- This system is based on a secure, scalable and reliable blockchain.
- It is backed by a reserve of assets designed to offer it intrinsic value;
- It is governed by the independent association Libra, which is responsible for guiding the evolution of the ecosystem.
- The initial group of organizations that will collaborate on the finalization of the association’s charter and will become “Founding Members” once the charter is completed concerns, by sector:
- Payments : Mastercard, PayPal, PayU (Naspers’ fintech arm), Stripe, Visa
- Technologies and marketplaces : Booking Holdings, eBay, Facebook / Calibra (Now Novi), Farfetch, Lyft, Mercado Pago, Spotify AB, Uber Technologies, Inc.
- Telecommunications : Iliad, Vodafone Group
- Blockchain : Anchorage, Bison Trails, Coinbase, Inc., Xapo Holdings Limited
- Venture Capital : Andreessen Horowitz, Breakthrough Initiatives, Ribbit Capital, Thrive Capital, Union Square Ventures
- Nonprofits, Multilateral Organizations, and Academic Institutions: Creative Destruction Lab, Kiva, Mercy Corps, Women’s World Banking
According to the white paper, they hope to have around 100 members of the Libra association by the launch planned in the first half of 2020. It costs the US $ 10 million to become members of this club.
Libra Ecosystem watch video
Other things about the white paper:
- Facebook says that “The use of existing blockchains and cryptocurrencies by the consumer market has so far been hampered by their volatility and lack of scalability. Because of these characteristics, their function as a store of value and intermediary for exchanges is still limited. We are convinced that collaboration and innovation with the financial sector (especially with regulators and experts from various sectors) is the only way to ensure that this new system is based on a sustainable, secure, and reliable framework.
- The white paper highlights the supposed openness of Libra: “The Libra blockchain will be open to everyone: consumers, developers or businesses will all be able to use the Libra network, create products and thus offer added value through their services. Open access fosters participation and innovation and encourages healthy competition for the benefit of consumers. This element is fundamental to develop more inclusive financial options on a global scale ”.
- The Libra project displays governance without permission. “The association aims to develop consensus and permissionless governance at the level of the Libra network. The objective of the association is to start this transition in the next five years, in order to gradually reduce its dependence on the Founding Members. In the same vein, the association aims to limit its role as administrator of the Libra reserve as much as possible ”.
- The Libra blockchain works on the basis of pseudonyms. It allows users to have one or more addresses that are not linked to their real identity.
- The currency is called “Libra”. “It is important that it is accepted in many places and easily accessible by those who wish to use it. In other words, people need to know that they can use it and that its value will remain relatively stable over time ”.
- Regarding the reserve of assets, the white paper states that “Unlike the majority of cryptocurrencies, Libra is fully secured by a reserve of real assets. Various bank deposits and short-term government securities will be kept in the Libra reserve for each Libra created, to build confidence in its intrinsic value ”.
- The money in the reserve will come from two sources: tokens sold to investors and users of Libra.
- According to the white paper, “Over the next few months, the association will work with the community to gather their feedback on the Libra blockchain prototype and prepare it for launch. This preparation will focus in particular on the security, performance, and scalability of the protocol and its implementation ”.
More info about Novi
- Novi’s wallet will be available to its customers to use a new digital currency called Libra.
- ”Once Novi is available, you will need to have an official ID to open an account. Identity verification is essential for compliance with laws and the fight against fraud, and to confirm that a person is who they say they are ”.
- To get the portfolio: “A standalone Novi application will be available in the App Store and Google Play. You will also be able to use Novi directly from your WhatsApp and Messenger applications. Sending and receiving money will be as easy as sending a message to relatives or to businesses ”.
- Using Novi: “You can use Novi to send money to anyone, anywhere in the world. Novi is designed for Libra, a new global cryptocurrency. As the value of Libra is stable, you can also keep your money in Novi and use your account to pay for day-to-day transactions, for example, to pay for your coffee, groceries or public transport ”.
- Regarding fees, the site says, “Transaction fees will be cheap and transparent, especially if you’re sending money overseas. Novi cuts fees to help people keep more money in their pockets ”.
- Novi wants to break down the boundaries as to its use. “Our goal is to make Novi accessible to everyone, everywhere. We are trying to establish Novi in as many countries as possible as soon as possible ”.
- The site states that “The N Company is a subsidiary of Facebook, Inc., and Novi operates independently of Facebook”.
- Regarding fraud, Novi says: “All accounts and transactions are verified and the app is designed to be fraud-proof. Accounts are verified using official ID, to confirm that a person is who they say they are. Facebook and WhatsApp account information is also used when available to verify identities and fight fraud. Novi also benefits from in-app reports and dedicated customer service. In the rare event of fraud, you will receive a full refund ”.
Two sites – Libra.org and Novi.com – were launched and explain the project in more detail.
Note : Facebook replaces Calibra with Novi
Social media giant Facebook has given a new name to its subsidiary Novi , responsible for the Libra project: Novi . This will include a digital wallet to manage Libra digital currencies.
“With Novi, sending money will be as easy as sending a message. You will be able to use Novi as a stand-alone app, as well as in Messenger and WhatsApp,” the company said. She also claims that there will be no hidden costs to add, send, receive, or withdraw money and that the transfers will be done instantly.
The company has confirmed that all Novi customers will be screened using a government-issued ID, and fraud protection will be built into the app.
The first version of Novi should be introduced as soon as the Libra network becomes available. However, the digital currency of Libra will be able to be stored in different wallets.
— David Marcus (@davidmarcus) May 26, 2020