Facebook has finally released the whitepaper for their Libra project containing valuable information regarding the block production and validation in the network. There are a lot of misconceptions around the social media giant’s new crypto project and we would like to clear them out for everyone.
Libra Nodes and Misconceptions About Them
The first major misconception that should be cleared is that there will be no real Masternodes on the Libra network. The nodes are just basic validation nodes and in order to become such a node you need to have a business, nonprofit and multilateral organization or an academic institution. Although these requirements are expected to change in the future, they are currently necessary in order to provide a stable launch.
The consensus which the network would be using is LibraBFT resembling the dBFT mechanism. In order to be eligible to run a node on the network, you will first need to be one of the types of organizations that we have mentioned above. Next, you will need at least 10 million Libra Investment Tokens (LITs) and a good technical knowledge on how to operate a server and read development documentation. Speaking of technological knowledge, you should be aware that you will need a powerful machine to run it all. The recommended specs from the Libra team are – 96 Core CPU, 384GB RAM, 100Mbps internet and 3,600GB of hard drive space. If you would like to know more, you can find more information here.
The project is expected to launch in the first half of 2020 and there isn’t an official client or wallet yet released. The only wallet that is planning to support these LIT tokens is Calibra, which is an SPV wallet.
About Libra
Libra’s goal is to simplify the global financial infrastructure with a simple currency and empower billions of people. It is made up of three major parts that work together to achieve those goals. First, Libra is built on a reliable, secure and most importantly scalable blockchain. Second, it is backed by a large reserve of assets designed to give the cryptocurrency intrinsic value and resistance to major swings like other crypto giants such as Bitcoin. Finally, the governance of the network is in the hands of the independent Libra Association which is tasked with evolving the ecosystem.
The Libra network will support smart contracts running on their own language called “Move”. Initially they will be implemented by Libra, but eventually it will be possible for people to upload theirs to the network without permission from the validators. Each node will be limited to 1 vote, which can be used when discussing upcoming changes and decisions regarding the network. Facebook have announced that there will be roughly 100 spots for organizations to become validator node holders.
Conclusion
It was only a matter of time before the social media giant decided to adopt blockchain technology to improve themselves. The project will definitely attract attention and people willing to experiment with cryptocurrencies. Technically Libra is not a threat to Bitcoin, but it is a great way to spark the interest of a wider public towards crypto.