After a lot of wait, Facebook finally announced its cryptocurrency known as Libra. After the success of bitcoin, cryptocurrencies are now becoming famous. However, no other cryptocurrency has yet achieved the level of success as much as bitcoin. The mining process of bitcoin is quite difficult, which means more and more people exert a lot of time for the mining process just to earn one bitcoin. According to an estimate, the bitcoin in total consumes as much energy as Ireland. This is the reason people are raising the question on the power-hungry cryptocurrency and its process of earning.
Libra, on the other hand, is very specifically introduced with a proper ecosystem as there is a value and moderation system in the currency of every country. Initially, Libra has been specifically made according to an algorithm that sets a unit of the cryptocurrency by estimating the ratio with the size of the basic deposit of the company. This cryptocurrency is more centralized which means it is better to monitor and easier to get as compared to its power-hungry extremely difficult an expensive counter partners. However, the product has only been announced and has not been launched yet which means nothing is confirmed. The only way to compare Libra with other currencies is to wait until it’s finally out.
- Also read: Will Facebook’s New Digital Coin ‘Libra’ Become A Game Changer For The Blockchain Industry?
As far as the power is concerned, All the data center in U.S. said to consume nearly 2% of the energy. Libra has been promised to stand out because of its environment-friendly features, this has been made possible by using the already available resources. For designing and introducing a cryptocurrency individually, the company will obviously need more data houses and more warehouses which means consumption of more electricity and more resources. Facebook already has these resource, they just need to use their resources better and this is the reason Libra is considered as environment-friendly although, using the word environment-friendly might not be 100% accurate because every data house needs energy and other resources to run smoothly, however, by using already existing resources, Facebook is trying to avoid any use of extra resources. Although, Libra has not been launched yet, experts are hopeful that it will be a healthy addition to the environment.