Question

what do alternative currencies have in common?

How will facebook currency be differencies than other?

will facebook currencies achieve its goal? why or why not?

Answer 1

1. Alternative currencies are usually not legal tender and their use is based on agreement between the parties exchanging the currency. Any form of lending that does not go through the banking system can be considered a form of alternative currency. ex- Mutual credit.

2.

The cryptocurrency industry cannot get enough of Libra, touting its ability to gain mainstream adoption which bitcoin strived to do for years.

However there are differences between bitcoin and Libra and it stems from their use case.

Differencess-

Librais a medium-of-exchange where users can send money and house transactions. Bitcoin, while it attempted to became a platform for facilitating transactions, has been regarded as more of an investment and store-of-value.

Adoption

Libra is coming to market with a lot of powerful players behind it…including Mastercard, Uber, Booking Holdings, Visa, which should help Libra achieve mass adoption.

Libra's low fee transaction should incentivize customers to use the token to send money, analysts said. Bitcoin, on the other hand, got more expensive and slower in conducting transactions.

Volatility

The volatile nature of bitcoin has invited risk takers to trade the cryptocurrency.

Since bitcoin is not owned or governed by any central party and lives on a decentralized network, it is vulnerable to bring price swings.

Alternatively, Libra is supported by currencies like the dollar and euro.

3. I think facebook currency Libra achieve its goal . there are so many reason. i discussed some of them as follows.

A. popularity of facebook- the popularity of facebooks directally benefit the currency for its growth and peoples will automatically finds its trustee.

B. well established market- Facebook is already established tech giant so, i dont think so that Libra will not use this plus point. facebook dont want any special attention to spread it.

C. Already gave customer base- facebook is already a international platform so it will automatically provudes the customer base for Libra. Facebook users are already wauting for it. and as discussed above there are so so many plus ponit of Libra over other currency.i.e.bitcoin