Editor's Note: This article comes fromGu Yanxi, published with permission.
Editor's Note: This article comes fromGu Yanxi, published with permission.
In my previous article about the public chain(So many public chains, so few applications)The analysis article pointed out that the large number of public chains is one of the main reasons for the lack of applications on the blockchain. Developers do not want an application to be developed repeatedly on multiple public chains. Therefore, the public chain commonly used in the market is still Ethereum. The large number of public chains is also a reason that hinders the further development of the application of blockchain and encrypted digital assets. The launch of Libra presents a great opportunity to address the current state of separated public chains.Libra consists of three fundamental components: the Libra Stablecoin, the Libra Blockchain, and the Libra Association. Now the part of the market that is most concerned about Libra is the Libra stable currency. But I think the Libra stablecoin is just a Trojan horse, and the real threat hidden in it is the Libra blockchain. According to Libra's white paper, Labra will provide a simple financial infrastructure. But this underlying blockchain will definitely not be limited to supporting the simplest financial product such as currency. Smart contracts on this chain can be used to customize more complex financial products such as stocks and accounts receivable. The circulation and transactions of financial products supported by this chain are not limited to the banking industry(Commercial banks, victims of the blockchain era)
, but also the securities industry(Libra's side attack on the securities industry). Therefore, the Libra blockchain will fundamentally change the foundation of the current banking and securities industries. This subversive effect on the current financial market is far greater than a stable currency.
I think Facebook made a very big mistake when it came to project management for the launch of Libra
(Libra Project Research Analysis Report)
. In the progressive and big bang project management methods of project management, Libra actually adopts the big bang project management method. The biggest problem with this project management method is that the risk is too large, which leads to a very high probability of project failure. Since the news of Libra was announced on June 18, the various regulations and challenges it has encountered have shown that Libra has begun to go through a process full of risks. A progressive approach to project management is actually more suitable for a project like Libra. In addition, the growth process of Facebook itself is such a gradual process.
In Libra's project management plan, if a gradual project management method is adopted, the Libra blockchain can actually be launched first, and then the Libra stable currency will be gradually launched. If the Libra blockchain is widely adopted globally, the Libra stablecoin launched on top of it will be relatively easy to promote globally. The various resistances encountered during the promotion of Libra stablecoins will therefore be reduced. In the actual progress of this project, the main network of the Libra blockchain is expected to be launched next year. I think the launch of the Libra blockchain may have a very big impact on the existing public chain market. Of course, this premise is that the Libra Association fully opens up permissions, allowing more developers, institutions and users in the society to participate.
After the Libra blockchain chain is launched, many applications and products will be launched on this chain before the Libra stable currency. If Facebook uses its client to use this chain for its social network users, it will definitely attract many developers to develop various applications for this chain. For developers of blockchain applications, they will definitely choose the blockchain that supports the largest number of users first. If the Libra blockchain can bring together a large number of users, it will definitely become the first choice for developers. After all, there are too many problems in Ethereum, and blockchain developers have long been looking forward to a public chain with better performance and more users. The Libra blockchain has the potential to be such an option. The logic of the developers is the same as the logic of the mobile operating systems that the original developers chose to support and the earlier computer operating systems.
Among various types of applications on the public chain, various products in open finance will definitely be applied first. Although the current number of digital assets is still very small, and the transaction volume that can be generated is also very small, the advantages of open finance are already very obvious. As the number of digital assets continues to increase and the transaction volume continues to increase, there will be more and more open financial applications. After all, compared with the current centralized financial services, distributed finance has very strong advantages in terms of cost, efficiency and flexibility. So their adoption is bound to happen. At present, various open financial applications have been in the process of continuous development. For example, the amount of ether locked in MakerDAO continues to grow. One reason currently limiting the widespread adoption of open finance is insufficient infrastructure. This includes the underlying blockchain and the stablecoins on top of it. After the launch of the Libra blockchain, even if the Libra stable currency has not yet been launched, it is still likely to become the first choice for distributed financial developers. A possible situation is that stablecoins generated on this chain by other minting methods are the first to circulate on this chain, such as stablecoins based on fiat currency mortgages and linked to a certain kind of fiat currency. Such a stablecoin is more likely to be launched first than the Libra stablecoin. Then such a blockchain and the stable currency running on it provide distributed finance with the infrastructure services required for its application. Such a financial ecology can be gradually established.
