Libra? Too centralized according to Joseph Lubin

Libra? Too centralized according to Joseph Lubin - Joseph Lubin

Among the many statements that followed the publication of the White Paper of Pound, many have highlighted the fact that the new Facebook digital currency is practically foreshadowing like a real currency, without having to respond to monetary institutions.

To make more and more concrete the possibility that the big technological companies can soon propose themselves as superior entities to the same states, relying on currency instruments removed from the control of politics.

Precisely in the light of these considerations, many have paid great attention to the statements made by Joseph Lubin, one of the founders of Ethereum in an article published on the information portal Quartz.

What did Lubin say?

In his analysis Lubin started from an observation: Libra would be

"A centralized wolf disguised as a decentralized lamb".

A very heavy affirmation not only because it goes against a narrative, the one contained in the White Paper which would like Libra to be completely faithful to the ideas of democratization at the origin of the phenomenon of digital uniforms, but also because in practice it goes to denounce the inordinate ambition of the project, or to impose on the laws in force and constitute a dominant superstructure.

Later in his speech he then tried to mitigate the impact of the premise, for example by stating that a Libra success could open the door to a more relaxed relationship between digital assets and the surrounding world. The impression aroused by his similarity was however equally strong, practically confirming the fears of many analysts and politicians.

Inordinate ambitions

Un project with overly ambitious ambitions, which could go to mark a sort of point of no return: this according to some would be Libra. The concerns that are mounting in various sectors seem to be quite justified in the light of the great expectations which have accompanied the launch of the project since the beginning.

Just think, for example, that the White Paper indicates the goal of the new virtual Facebook uniform act as a privileged tool for the transfer of migrants' financial remittances. According to the latest World Bank report, 300 million would be the number of people living outside national borders, sending huge amounts of money home.

During the 2018 remittance flows reached 529 billion, with an increase of 9,6% compared to the 2017 data. To which must then be added those sent by the enormous number of illegal migrants who are unable to use the official financial networks, ending up by feeding the illegal money transfer channels, a veritable cesspit to which organized crime is accustomed and terrorist organizations.

The problem that arises is precisely that relating to the illegal economy, which could benefit from the existence of an entity whose management of Libra could give an exorbitant force, configuring a sort of superstate impossible to control. A problem that many are now evoking, hoping to be able to change a picture which, at the moment, seems quite worrying.