Facebook announced on Tuesday plans to unveil in 2020 a subsidiary called Calibra, which will allow access to Libra, a new digital currency.
Calibra will work in concert with Facebook Messenger and WhatsApp, and as a standalone app, Facebook announced in a blog post.
“Libra holds the potential to provide billions of people around the world with access to a more inclusive, more open financial ecosystem,” said David Marcus, head of Calibra for Facebook.
Cryptocurrencies like Bitcoin allow users to buy and sell digital units of currency independent of a central bank, with little to no transaction costs. Libra is designed to work with Calibra as a place to save, send and spend Libra.
Libra is built on a secure, scalable and reliable blockchain network governed by the independent Libra association, according to Facebook.
The Libra association is a group of organizations from diverse sectors including payments, telecommunications, nonprofits and more. Members include Mastercard, PayPal, Vodaphone Group and Spotify.
Libra Blockchain begins Tuesday in an open-source test, but it’s expected to be launched in 2020 alongside Calibra.