Facebooks Libra currency basket breakdown revealed: report

Monday 23 September 2019 00:19 CET | News

Facebook has revealed the percentage breakdown of the basket of global currencies that will underpin the Libra cryptocurrency.

It is known already that 50% of the basket will be constituted by the US dollar. However, citing the German newspaper Der Spiegel, CoinDesk said that the remaining portion will consist of the euro, the yen, the British pound and the Singapore dollar, with 18%, 14%, 11%, and 7%, respectively. The basket will not include the Chinese yuan, the legal tender of the world’s second-largest economy.

A consortium led by Facebook with members including Visa, Uber, and PayPal governs Libra, a stablecoin designed to anchor to a basket of currencies to facilitate global payments. Lawmakers and regulators in the US have raised concerns over the initiative, while the French finance minister even said the nation plans to block Libra.

China views the currency as a direct threat and thus it is developing its own central bank digital currency (CBDC) to meet the challenge posed by Libra, CoinDesk added.

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Keywords: Facebook, Libra, cryptocurrency, digital currency, financial transaction, financial inclusion, Libra Association
Countries: World

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