Cryptocurrency has slowly but surely been gaining legitimacy for a while now. Once seen by many as a misunderstood concept, many more people are beginning to see the benefits. Now with Facebook entering the market, it can only be a good thing for crypto in general.
The currency is likely to be in high demand and you’ll want to know how to buy Libra. If you’ve never bought cryptocurrency before then there are a few key details that you need to know. The first thing you need to know is where to buy it.
Find an exchange
As you probably know, you can’t go down to your local shop and buy some cryptocurrency. It requires the use of an exchange. This is effectively just a marketplace where you would be able to exchange AUD for Libra.
The exchange is a safe way to be able to buy the currency but some are a lot better than others. Coinspot is an example of an exchange which makes the process very easy and allows you to buy the currency with a lot of confidence. We’ll show you later exactly how it’s done.
When can you buy Libra
Even on Coinspot, you won’t be able to buy Libra just yet. That’s because it hasn’t been given released yet. A phenomenal amount of work has to go into making a currency and also Libra want to make themselves as professional as possible and it needs to be passed by regulators.
It is expected to be available in the first half of 2020 and until then the best thing you can do is get yourself set-up and ready to go. The price of the coin is unclear at this stage but everyone will have the opportunity to get their hands on this exciting new currency.
How to buy Libra
Once it becomes available, using an exchange such as Coinspot will make the process very simple. You can even get started straight away and enjoy looking at other currencies and checking to see if you wanted to invest in something new and exciting.
The first step on your cryptocurrency journey is to make an account and with Coinspot that is very easy. The only point to consider here is that you need to enable ‘2FA’ when you are asked as this will give you an additional level of security.
With cryptocurrency, there is a lot of security involved but most of the stringent measures you’ll never actually see. One step that you have to take is verifying your account which is a common and important and part of exchanges. Not only will you be asked to verify your e-mail and address and number, but you’ll also be asked to confirm your identity. This is done by uploading documents. Instead of seeing this as a chore, it should give you reassurances that you are using a very secure service.
Once you are verified then you want to be able to add on a back account in order to make your transactions. This is a very easy step as all you need to do if add your details in the same way you have done on many other websites.
As soon as you have followed those stages, you’ll then be able to start buying currency. Coinspot has many different coins available and therefore you’re not going to be short on options.
You can simply click on buy and you’ll be able to input how many coins you want to buy or how much AUD you plan on spending. The transactions are usually done very quickly and you’ll have your currency in no time.
Storing your cryptocurrency in the long-term on an exchange isn’t advised regardless of who you use. If you plan on storing your money then you’ll need an e-wallet which will keep your money securely in the same way internet banking does.
Why choose Libra?
There are many cryptocurrencies available and you might be wondering what it is that makes Libra special. Facebook is trying to do something a little different with Libra that could take the world of digital currency out of the dark and into common thinking.
The currency is digitally native and also reserve-backed which immediately makes it unique among coins. They are aiming to make it a lot more inclusive to enable those who don’t have a high level of computer knowledge to be able to use it.
Perhaps the most intriguing aspect of Libra is that it will be backed by real assets. This not only gives the currency more legitimacy but it also will help to make the price a lot more stable. Stability has been a real issue for digital currency in the last few years.
That stability will also be helped by the blockchain on which the currency will be formed. It enables it to be scalable to avoid any issues that have dogged many other coins. It should enable Libra to be commonly used by people every day.
The future of Libra
The world of cryptocurrency can be volatile and unpredictable. Even the most famous coin, Bitcoin, will often have wild changes. In just the last two years the coin went from being valued at around $1k, up to $17k before dropping down to around just about $3k.
It has been steadily rising since but it’s an example of the volatility that Libra will want to avoid. With the controls that are putting in place, as well as backing up the currency with a reserve, they might well be able to do just that.
The boom of cryptocurrency came from the fallout of the financial crisis. One of the most appealing aspects of digital currency is that it removes the reliance on banks. Your money is more protected and this could be especially useful for people in developing countries.
The advantages of cryptocurrency are very clear. All the signs are that it will continue to grow as people get more comfortable with a different way of saving and spending money. There are a limited amount of places you can spend digital currency but Libra aims to change all of that.
Regulation is one area where the currencies can be lacking as they are more or less self-governed. Instead, Libra will work with regulators to make sure it is making such checks as protecting against money laundering and fraud.
It’ll be interesting to see how the crypto community reacts to this. There are a rebel and anti-authority element to digital currency and therefore having connections to such institutions might be seen as a bad thing and the currency effectively being seen as an online bank.
Can Libra go global?
There are plenty of reasons to get excited about Libra. It’s a hugely ambitious product and one to get onboard with. It has incredible backing which will surely make it a success. If all goes to plan, Libra could instantly become the most trustworthy coin out there.
The financial world that we live in today is full of processing fees and transaction waiting times. Digital currency solves these issues and if it’s rolled out correctly, it could end up helping people all over the world move more around more simply and a lot quicker.
Should I invest?
As we mentioned, the world of cryptocurrency is hard to predict. Instead of using it as a currency, many people currently use it as a trading platform in the same way that people buy stocks and shares.
If you by one British Pound, for example, it would cost you around 1.8 Australian Dollar. If the dollar then weakened, then you’d be able to see your pound and get more money in return to spend on whatever you like.
Due to the stability of major currencies, this practice isn’t worth it as the changes are always minimal. With cryptocurrency that isn’t the case and plenty of people have tried to exploit that in that past.
The more that Libra is used and the more commonplace it becomes, the more likely the price is to rise. It will likely be a lot steadier than other currencies. While it might be a good initial investment, Libra want their currency to be used in more traditional ways. Buying the coin early, however, could well be worthwhile.
Get ready for Libra
We have shown you how to buy Libra but for the moment it’s a waiting game. While you are waiting, it’s a great idea to explore other currencies on Coinspot to get used to the platform and see if there are any trading opportunities that you might see as worthwhile.