Author(s): Salih M. Sahi
Facebook announced an aspiring project called “Libra” on June 18, 2019 to convert the current economic system with an international digital currency (Libra Coin) following an unconventional economic infrastructure (Libra Blockchain).As such, this study aimed to comprehend the consequences of Libra and the Libra concept from financial perspectives. Two primary study methods (deductive and inductive) and the relevant data derived from the European Parliament, European Blockchain Center,Coinmetrics.com and the representative survey among 3059 German adult Internet users by Blockchain Research Lab offered useful insights into understanding the Libra effect on emerging crypto market behaviours. Notably, Libra was designed to manage over 1,000 transactions per second upon being launched. Less than a week later, the Libra testnet averaged 25,000 transactions daily and was approximately on par with Dash and NEO (crypto-currencies) with over $1 billion in market capitalisation. Conclusively, the Libra project would promote blockchain-oriented currencies as a mass adoption catalyst. Notably, the subsequent behaviours following the COVID-19 pandemic potentially instigated the decline in cash flow.