Thanks to @Clint for re-raising this subject and thanks to @BillyBobPimpton for the original post and valuable link.
The basic concept is that there will be only the same amount of “Libra” as there is deposited money (real money) and that conversion back to real money will be accompanied by destruction of the appropriate value of “Libra” - so similar then to a “fractional reserve ratio” with a reserve ratio of 100% then. [That “Reserve ratio” can of course change over time and even be abolished altogether as it has in the “modern currencies” ]
Yet they also speak of “introductory offers of free Libras” and also “combatting of payday lenders” - so where are these “free Libras” accounted for in this ?
28 “members” all contributing a minimum of $10,000,000 so if we take a stab at a “reserve fund” of say half a billion, presumably these “Offers and the (implied) loans” will be resourced from that reserve fund.
Problems highlighted so far seem to include “Bent software developers” and they say that if problems are found, they will shut the system down whilst they "investigate software ‘fixes’ " (Handy if you’re trying to catch a train at the time !)
There doesn’t seem to be any facility for drawing any physical form of “money” from cashpoints etc so “they” will know exactly how much I smoke and drink and gamble etc etc. In fact “they” seem to regard this as a positive under the KYC (Know your customer) principle.
We already know that the headline “lead” participant regards it as his god given duty to interfere negatively with the algorythms to defeat democracy on his Facebook site and the big “G” do the same to defeat, de-monetize and deplatform anyone expressing views to the right of Stalin on “U-Tube”, without apparently explanation or appeal. It would appear that this refusal to honour the contract they entered into sometimes many years before to “pay for contributors with a decent size following” after the contributor has worked for years to builld up a following should be illegal. It is certainly immoral.
What is to stop these same tactics being used to “punish” people for Political “Sins” of believing in things like “freedom and democracy” by simply finding that there is a “problem” with the account in the same way some bent “brokerages” seem to do in our own hobby ?
Our very own Postmodernist has stated that “Gold equals war” above - so we assume this belief will extend to any other form of physical assets as well in their Anti-captalist stance and that only a “Globalised world” with themselves as dictators of what constitutes “truth and fair play” will satisfy their idea of a “Utopian world”. - Now where have we seen that idea result in hundreds of millions of people starved and worked to death and incarcerated in “Gulags” and their chinese equivalent during the 20th century ? - We already know the inevitable outcome of that particular “equality of outcome” doctrine !
The fact that China “Likes the look of it” says it all really !
I think I’ll give this one a miss - than you for your kind offer.
[I think I might buy (and hoard) some Gold sovereigns ]
Interesting too that China want to know the composition of the “Basket of currencies” !