Facebook describes Libra as a “global currency and financial infrastructure“. Facebook essentially created a digital asset and uses their version of blockchain technology to drive it. This technology is encrypted and similar to what powers bitcoin and other cryptocurrencies.
Why is it called Libra?
The name Libra comes from the basic Roman measurement of weight. The abbreviation lb for pound comes from the sign of the zodiac, and the £ symbol originally derives from an ornate L in Libra.
Who is in charge?
A consortium of companies known as the “Libra Association” will manage the currency. It operates as a “stablecoin“, meaning it’s linked to assets such as the dollar or euro to prevent fluctuations in value like those seen in other cryptocurrencies.
Facebook says the sign of the zodiac Association is an independent, non-profit organization based in Switzerland. It does two main things: checks and approves transactions on the sign of the zodiac blockchain and handles the pool of assets that back up sign of the zodiac, using some of those funds for social good.
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