Another option for purchasing Libra coins is to use Facebook’s own programs, such as Messenger or WhatsApp. Novi, Facebook’s native Libra cryptocurrency wallet, formerly known as Calibra, will be integrated inside the network’s apps.
- If you don’t already have a Facebook account, create one. To begin using Facebook, enter your name, email, password, and other information such as gender and date of birth, then click the sign-up button and confirm your email or phone number.
- From the Google Play or Apple Store, download Messenger or WhatsApp. Install it on your computer or mobile device.
- Using Messenger or WhatsApp, access the Novi wallet. To purchase Libra Coins, enter your credit card or bank account information.
- With fiat currency, you can purchase Libra coins (USD, EUR, GBP). Use your Libra Coins in your integrated digital wallet to make purchases anywhere Libra Coin is accepted.
In This Article...
How do you get a Libra coin?
Although they aren’t named Zuckerbucks, Facebook has just redefined digital currency. Facebook’s Libra cryptocurrency, which is set to launch early next year, is more like PayPal than Bitcoin in that it’s supposed to be user-friendly. But it’s still difficult to grasp, so I’ll break it down for you in plain English.
Libra is like money stored in your phone. What is the procedure for purchasing Facebook’s cryptocurrency? Libra will be available for purchase through Libra wallet apps on your phone, as well as some local supermarket and convenience stores, beginning in 2020. You exchange your local money for Libra coins, which are represented by this wavy three-line emoji instead of the $ symbol. However, you must first provide photographic proof of your identification.
Because those companies have worked with Facebook to make Libra popular, you’ll be able to spend your Libra while online shopping or even pay for things like Ubers or your Spotify membership with it. You won’t have to pay exorbitant credit card processing costs, which can add over 4% to your total, because digitally moving Libra from one account to another is essentially free. For joining up and paying with Libra, some Libra wallet apps and shops will provide extra discounts or free coins.
Like Venmo or PayPal, you’ll be able to send and request money from your friends. It’s as simple as sending a message to Libra. In reality, Facebook is developing Calibra, a Libra wallet that will be integrated into WhatsApp, Facebook Messenger, and its own standalone app.
Your true name and identify will not be required to be attached to any of your payments, but they will be made public. Facebook is well aware that it is a touch weird, and you probably don’t want it spying on your purchases. So Facebook created Calibra, a new corporation that will store all of your financial information separate from your Facebook profile. That means it can’t target you with adverts based on your transaction data, re-order your News Feed, or sell your information to marketers.
Facebook hopes that you’ll eventually use Libra to pay your bills, buy coffee by scanning your wallet’s QR code, or buy a bus ticket by tapping your phone. You can cash out of Libra at any moment and have your local currency deposited into your bank account or given to you at a local food store.
But, without getting into a load of blockchain jargon, how does the Libra cryptocurrency work in practice? Libra is programmed to have a consistent price, to be secure, and to be governed by more than just Facebook.
Libra is instead managed by the Libra Association, which has 28 members and wants to reach 100 by the time it starts in the first half of 2020. Members include financial institutions such as Visa and Mastercard, retailers and apps such as eBay and Lyft, venture capital firms such as Andreessen Horowitz and Union Square Ventures, and organizations such as Kiva. They each paid at least $10 million to gain a seat on the Libra council, which oversees the currency’s fate. They’ll be in charge of ensuring that Libra transactions are genuine and setting up the Libra Reserve.
When you cash in a dollar, it goes into the Libra Reserve, a large bank account that makes and sends you roughly one Libra token. The Libra Reserve is made up of a group of the world’s most stable currencies, including the US dollar, British pound, euro, and Japanese yen. The concept is that the Libra’s value will remain stable regardless of whether one of those currencies rises or falls in value. Shops will be able to take the Libra as payment without fear of the coin’s value dropping tomorrow. Older cryptocurrencies, such as Bitcoin or Ethereal, haven’t developed in popularity as payment methods due to large price volatility. In addition, Libra can process 1,000 transactions per second, but Bitcoin can only process 7.
So, how does Facebook make money, as do the other Libra Association members? Interest is deducted from all assets kept in the Libra Reserve. After the Libra Association pays for its operations and technology investments, members receive a percentage of the leftover interest based on how much they invested when they joined. If Libra becomes popular, a large number of people invest, and the reserve rises, the interest might add up to a significant amount of money for Facebook.
But there’s a second, less obvious way for Facebook to profit off Libra. Small firms will sell more goods if the currency makes it easy for them to take payments online. They’ll have more money to pay on Facebook ads, which will make buying items with Libra even faster. Facebook Pages are used by 90 million small companies, yet only 7 million advertisers use the platform. Facebook’s earnings may increase if it can convert more of those local merchants into ad purchasers.
The biggest danger with Libra is that anyone can create apps for it. This could lead to a repeat of the Cambridge Analytica scandal. Instead of stealing your personal information, a bad app developer may steal your digital currency. According to Facebook and the Libra Association, Libra developers will not be vetted, leaving the door wide open for misuse. People will blame Facebook if they are deceived.
But if Facebook succeeds, the true winners may be the 1.7 billion individuals around the world who are poor and without a bank account. International money-transfer firms like Western Union and Monogram take advantage of them, charging exorbitant 7% fees that drain $50 billion from families each year. They may also lose all of their money if they are robbed because they have nothing stored online. All they’ll need is a photo ID, and Libra might provide them with a safer alternative to a bank account that makes it easier to pay for what they need.
There are many reasons to be concerned that Libra will give Facebook and other internet firms more influence, or that it could lead to individuals being deceived. However, it may provide an opportunity for poor individuals all over the world to participate in the modern economy. At the very least, it isn’t called FaceCoin.
Read our Libra deep-dive if you want the polar opposite of this article every last nerdy detail regarding Facebook’s cryptocurrency:
Which Cryptocurrency should I invest in 2021?
Bitcoin (BTC) is the first cryptocurrency, having been created in 2009 under the pseudonym Satoshi Nakamoto. BTC, like most cryptocurrencies, is based on a blockchain, which is a distributed ledger that logs transactions across a network of thousands of computers. Bitcoin is maintained secure and safe from fraudsters because updates to the distributed ledgers must be confirmed by solving a cryptographic problem, a process known as proof of work.
Bitcoin’s value has soared as it has grown in popularity. In May 2016, a Bitcoin could be purchased for around $500. The price of a single Bitcoin was over $44,000 on March 1, 2022. This equates to a 7,800% increase.
Ethereum (ETH)
Ethereum is a favorite of programmers because of its potential applications, such as smart contracts that run automatically when conditions are satisfied and non-fungible tokens. Ethereum is both a cryptocurrency and a blockchain platform (NFTs).
Ethereum has also exploded in popularity. Its price increased by more than 27,000 percent from April 2016 to the beginning of March 2022, from around $11 to over $3,000.
Tether (USDT)
Tether is a stablecoin, which means it is backed by fiat currencies such as the US dollar and the Euro and has a value that is theoretically equal to one of those denominations. Tether’s value is intended to be more consistent than other cryptocurrencies, which is why it’s appreciated by investors who are frightened of other coins’ excessive volatility.
Binance Coin (BNB)
Binance Coin is a cryptocurrency that may be used to trade and pay fees on Binance, one of the world’s largest cryptocurrency exchanges.
Binance Coin has grown beyond simply conducting deals on Binance’s exchange platform since its introduction in 2017. It can now be used for trade, payment processing, and even making travel reservations. It can also be exchanged or traded for other cryptocurrencies like Ethereum or Bitcoin.
In 2017, the price of BNB was only $0.10. Its price had climbed to over $413 by the beginning of March 2022, a gain of around 410,000 percent.
U.S. Dollar Coin (USDC)
USD Coin (USDC), like Tether, is a stablecoin, which means it’s backed by US dollars and aspires for a 1 USD to 1 USDC ratio. USDC is based on Ethereum, and it may be used to make international transactions.
XRP (XRP)
XRP, a digital technology and payment processing company founded by some of the same people as Ripple, can be used on that network to ease the exchange of many currency kinds, including fiat currencies and other major cryptocurrencies.
The price of XRP was $0.006 at the start of 2017. Its price had risen to $0.80 by March 2022, a gain of more than 12,600 percent.
Terra (LUNA)
Terra is a stablecoin blockchain payment network that works by maintaining a balance between two types of cryptocurrencies. TerraUSD and other terra-backed stablecoins are linked to the value of actual currencies. Luna, their counterbalance, is used to power the Terra platform and manufacture new Terra stablecoins.
Luna stablecoins and Terra stablecoins work together based on supply and demand: Users are encouraged to burn their Luna to create more Terra stablecoins when the price of a stablecoin climbs above the value of its associated currency. When the value of the Luna stablecoin dips in comparison to the base currency, users are encouraged to burn their Terra stablecoins in order to manufacture more Luna. As the Terra platforms become more popular, Luna’s worth rises.
Luna has gained almost 14,200 percent in price from $0.64 on Jan. 3, 2021 to $92 at the start of March 2022.
Cardano (ADA)
Cardano is renowned for being one of the first crypto projects that use proof-of-stake validation. By removing the competitive, problem-solving part of transaction verification found in platforms like Bitcoin, this solution reduces transaction time, energy consumption, and environmental effect. Cardano functions similarly to Ethereum in that it uses ADA, its native coin, to enable smart contracts and decentralized apps.
In comparison to other prominent crypto coins, Cardano’s ADA token has grown slowly. The price of ADA in 2017 was $0.02. Its current price is $0.99 as of March 1, 2022. This is a 4,850 percent rise.
Solana (SOL)
Solana is a cryptocurrency that was created to fuel decentralized finance (DeFi), decentralized apps (DApps), and smart contracts. It uses a hybrid proof-of-stake and proof-of-history mechanism to conduct transactions rapidly and securely. The platform is powered by SOL, Solana’s native cryptocurrency.
SOL’s price was $0.77 when it first introduced in 2020. Its price had risen about 13,000 percent by March 1, 2022, to around $101.
Avalanche (AVAX)
Avalanche, like Ethereum and Cardano, offers blockchain software that allows users to write and execute smart contracts using a native coin (in this case, AVAX). Avalanche has developed significantly since its introduction in 2020, thanks in no little part to its low gas fees and quick transaction processing speeds.
AVAX’s price has increased by more than 1,840 percent from $4.63 to $89.84 between July 12, 2020 and March 1, 2022.
Is Libra coin launched?
According to Coindesk, Facebook’s digital currency project, formerly known as Libra, is planning to introduce a US dollar-backed stablecoin by the end of this quarter. According to TechCrunch, it would be issued through a blockchain-based payment system administered by the Diem Association, which previously stated that it would begin in January 2021.
The stakes are high, since Amazon, another big behemoth, unveiled plans for its own digital currency just last week. To prevent price volatility, stablecoins are tied to the value of an underlying asset, such as a fiat currency or gold.
Which crypto will Amazon use?
Almost everything is available on Amazon. As a result, when you use BitPay, you may buy nearly anything with your Bitcoin or other cryptocurrency.
Amazon does not accept Bitcoin or any other cryptocurrency on a direct basis. The BitPay Card or purchasing Amazon gift cards with crypto are the best ways to spend money on Amazon. Despite expectations that the eCommerce behemoth would start taking cryptocurrency, Amazon has denied the allegation that it would accept Bitcoin before the end of 2021.
Spend Your Crypto on Amazon Using the BitPay Card
The BitPay Card is a cryptocurrency debit card that functions in the same way as traditional debit cards. You can, however, load the card from a crypto wallet rather than a standard bank account. Start using Bitcoin, Dogecoin, Ethereum, Bitcoin Cash, and other cryptocurrencies to make Amazon purchases right away.
In minutes, you’ll be able to use your Bitcoin, Dogecoin, Ethereum, or other cryptocurrency to make Amazon purchases.
- Begin your shopping. Use the BitPay Card as you would any other debit card at Amazon checkout.
That concludes our discussion. After you’ve completed your Amazon wishlist, you may use the BitPay Card for regular shopping, travel, entertainment, and even paying your bills in cryptocurrency.
How can I buy Diem coin?
It’s also a lot easier to use Diem. Although you may purchase Diem Dollars on major cryptocurrency exchanges, you can also receive them directly from the Novi wallet. Novi is a simple app that allows you to easily obtain Diem Dollars, send and receive money, and redeem your Diem Dollars.
Will Libra coin go up in value?
However, some people have made money with Bitcoin. What are the advantages and disadvantages of investing in Libra or other cryptocurrencies? People buy Bitcoin in the hopes that the price will rise, and that the next buyer will be ready to pay more than they did. On Wall Street, this is known as the Greater Fool Theory. Because Libra’s value will be linked to actual money, there will be less of a chance for it to surge or fall substantially. Unless you’re Mark Zuckerberg, you’re unlikely to become a Libra billionaire.
Cryptocurrencies aid a number of businesses, but the benefits are sometimes temporary. Bitcoin mining, which entails solving complicated arithmetic problems in order to generate new Bitcoins and validate transaction ledgers, necessitates a massive amount of computing power. The stock of Advanced Micro Devices (AMD) has risen by 80% this year, thanks to its chips’ popularity in Bitcoin mining. However, ASICs (application-specific integrated circuits) designed specifically for Bitcoin mining are currently favoured. And as the price of Bitcoin fluctuates, so does demand for those chips.
QUIZ: Are You Guilty of Insider Trading?
What about the social media giant Facebook (FB)? Morningstar’s Mogharabi believes that Libra will have little impact on Facebook’s earnings in the coming years. According to CFRA’s Freeman, investors should be more interested in Facebook Watch, the company’s YouTube competitor, which now has 140 million daily views, a fraction of YouTube’s normal traffic but growing. He says, “That’s the next Facebook thing to be excited about.”
How can I buy Facebook currency?
What is the best way to acquire Facebook Metaverse?
- Check CoinMarketCap to learn where and with which currencies you can buy Facebook Metaverse. CoinMarketCap gives a list of purchasing possibilities for each cryptocurrency (also known as market pairs).
Which Cryptocurrency will Facebook use?
On Tuesday, Senate Democrats sent Mark Zuckerberg, Facebook’s CEO, a letter in an attempt to persuade him to discontinue the social network giant’s digital wallet project, Novi.
“Facebook cannot be trusted to handle a payment system or digital currency,” the letter stated, “since its existing ability to manage risks and keep users secure has proven totally insufficient.” “We strongly encourage you to end the Novi pilot program immediately and pledge to not bringing Diem to market.”
Facebook’s suspended digital currency project, Diem, has been rebranded from Libra. Rather than using Diem, Facebook has declared that it will instead utilize the Paxos Dollar, a stablecoin. With Coinbase as its custody partner, Novi would allow users to send and receive money using the Paxos Dollar.
