In a white paper released by Facebook, the company outlined the objectives and specifications of a new cryptocurrency called Libra.
The cryptocurrency, which has been in development for a more than a year, is designed to allow payments to be processed over the internet globally, and to incorporate the 1.7 billion people around the world who don’t have a bank account or a line of credit.
Rumors have been circulating about a cryptocurrency developed and/or managed by Facebook for at least a year, and now it is finally out in the open for people to see in the form of Libra.
The Libra Association, the guiding hand for the fledgling cryptocurrency, is made up of partner companies.
The Libra Association is responsible for running the validator nodes, the computing server clusters that process transactions, and, as such, are the only ones allowed to actually add or remove Libra from circulation.
To maintain accuracy and prevent double-spend attacks, the Libra validator nodes use a system known as Byzantine fault tolerance, in which nodes can find a way to reach a consensus (in this case, on the state of Libra transacted) even when the nodes can’t all agree on the state of other nodes.