How to buy Libra (now Diem) in 2021?

Diem or previously Libra is intended to be used globally as an easy-to-use, simple, and low-fee currency. It would be available in the form of digital money on one’s phone. Today in this article, we’ll look at how you can buy Libra or now Diem and why you should invest in the coin.

Summary (TL;DR)

  • Libra (Diem) is a cryptocurrency announced by Facebook in June 2019. 
  • It shall be available in the form of coins, known as Diem Coins.
  • At the time of writing this article, Libra (Diem) coins were not available for buying and transacting. However, it will be available in the market soon. 
  • It is to be managed by an association known as the Diem Association. 
  • It is designed to be an easy-to-use, decentralized and straightforward mode of digital currency that anyone can utilize. 
  • A digital wallet is being designed to store the digital currency, known as the Novi wallet.
  • The data protection issues being faced by Facebook app would not affect Diem Coin and Diem Association as appropriate measures have been taken.
  • Once launched and available for buying, one can buy Diem over the Facebook App, Novi Wallet, or Cryptocurrency exchange platforms such as Coinbase. 

What is the Libra (Diem) Cryptocurrency?

Facebook introduced its cryptocurrency Diem in mid-2019. However, it is yet to be made available for purchase and transactions. It is intended to be used globally as an easy-to-use, simple, and low-fee currency. This decentralized currency would be functional in the form of digital money on one’s phone. Diem is cushioned by many assets, such as most major currencies and instruments of government debts. 

A non-profit association named Diem Association has been set up, composed of the coin’s founding persons. This association would manage the cryptocurrency and its reserves. 

Also, read What is Bitcoin and How Bitcoin Works?

What is the purpose of Libra (Diem)?

Libra (Diem) was designed to be an easy and simple medium of exchange across the globe. Price stability is also ensured by backing it with a basket of major currencies of the world. Furthermore, it helps in increasing the efficacy of the Libra cryptocurrency.

One of the major issues sought to be addressed by Diem in its Whitepaper is the cost incurred by people in developing countries to move money. Exorbitant fees are charged for money sending services in developing countries. Thus storing money cannot always be an advisable and feasible option in such countries. In addition, statistics show that around 1.7 billion adults fail to get access to a traditional bank. However, about 1 billion people own a mobile phone with them. 

Facebook Coin
Facebook Coin

Diem aims to become an easy-to-use, affordable, and straightforward mainstream digital currency that anyone can utilize. Furthermore, it has unique features such as affordability, optimum utilization of blockchain technology, and stabilizing the value of the money. Thus it would provide better, cheaper, and more open access to monetary services to every person. 

Also, read Libra Currency – A Cryptocurrency by Facebook

Where to buy Libra Coin?

Libra (Diem) is a much-talked-about cryptocurrency project of Facebook. However, it has not seen the light of the day till now and is expected to be launched soon. 

Diem has always been intended to be an open system. This implies that it would be available through digital asset exchange also, apart from its application or wallet. 

For those interested in purchasing the Diem cryptocurrency, whenever it is available for buying, some tips would be beneficial for your understanding. The most common way of purchasing the money is via – 

How to buy Libra via Facebook apps?

Applications such as Whatsapp and Messenger would facilitate the purchasing of Libra (Diem) coins. The cryptocurrency’s wallet, which was earlier known as CaDiem and now as Novi, would be integrated by the network apps for this purpose. 

  • First, you need to sign in if you already have an active account on Facebook or sign-up. You need to provide details such as name, email, password, gender, date of birth and hit the signup button.
Buying Libra via Facebook
Buying Libra via Facebook

You need to download Messenger or Facebook app from Google Play or Apple Store. Then follow the instructions below to proceed:

  • You need to use Messenger or WhatsApp to open the Novi wallet.
  • Furthermore, you need a credit card or bank account details to be register and purchase Libra coins.
  • Once you have purchased them, they can be used at any place where cryptocurrency is accepted. 

Earlier, Diem supported the only three currencies: the US Dollar, European Euro, and Great Britain’s Pound. However, it intended to extend support to other fiats as well. 

How to buy Libra through Novi wallet?

All those who are not registered with Facebook and its other applications can purchase the Diem coin through the Novi wallet

Facebook, along with the cryptocurrency Diem, has also launched a new wallet called Novi wallet. Moreover, it is a new digital wallet specifically designed to cater to the Diem payment system.

Buy Libra through Novi wallet
Buy Libra through Novi wallet.

Follow the steps below to proceed:

  • Firstly, download Novi Wallet from Apple Store or Google Play.
  • Sign up for creating or opening a personal account. 
  • Complete ID verification and personal identification procedures by providing personal information.  
  • Personal identification is essential here as Know your customer (KYC) and Anti Money Laundering (AML) policies are adopted by Novi wallet. 
  • Make the requisite deposit. 
  • Funds transferred to the wallet are automatically converted into Diem coins. 
  • Now that Diem coins are available in your wallet, you can make transactions with other people who use this currency by selecting the receiver, entering the transaction amount, and confirming it.

Also, read Best Crypto Wallets [2021]

Buying Libra on crypto exchanges

Diem coin listing is not confirmed. However, Coinbase being a member of the Diem Association, suggests that it might be so; To learn more, read Coinbase review.

coinbase
coinbase

Some easy steps of how to purchase Diem coin on the Coinbase cryptocurrency exchange platform are- 

  • Set up an account by providing personal details such as email, password, location, etc.
  • In addition, Coinbase requires verification through ID, so it is necessary to provide a valid ID document like a passport, State issued ID, or Driver’s license for this purpose. 
  • Deposit some amount; a new payment method needs to be added to the new Coinbase account to make a deposit. Funds can be transferred and withdrawn by linking the bank account, debit card or wire transfer, or PayPal account. 
  • Diem coins would be purchased by selecting the Diem coin option on the Coinbase Buy page, entering the amount that would be bought, and a payment method is to be chosen. 
  • Next, select the wallet where funds would be deposited and confirm the order. 

Earn passive income through Coinbase Staking – Earn staking rewards on your Crypto [2021]

Best payment methods to buy Libra

Facebook already has around 2.6 billion users worldwide, making it highly probable that they may use this connection while launching Diem. It is also contended that Novi wallet, which is associated with Facebook’s other applications, would become the most widely used method of buying Diem.

Any conclusive information regarding the payment method that Novi would use to add funds is not available. However, one can consider using Facebook Pay for this purpose. Regarding the probability that future Facebook projects might opt for similar payment methods, the best option can be exercised because fiat currency can be transferred through traditional bank accounts to Novi wallet.

Facebook Pay
Facebook Pay

Also, read Top 6 Bitcoin Credit Card | Best Crypto Debit Card in 2021

Is Libra safe?

Facebook intends to use an open-source code to facilitate audits and monitor bugs and flaws to secure its currency and blockchain. A bug bounty system is also designed to be introduced to incentivize technocrats to look for possible vulnerabilities. If users lose money, it also says to provide a refund for that. 

Is Libra (Diem) coin worth investing?

Libra (Diem) coin has become a payment network instead of becoming an alternative to the traditional finance system that has continued for a long time. As it has not yet arrived in the market, it might even change the entire dynamics of the cryptocurrency market.

Diem would already have a solid audience base to support it initially when it would come into the market. All Facebook, Messenger, and Whatsapp users will be an undisputed advantage and will give it vast potential to grow. 

Whereas on the other hand, the prior presence of Facebook can, in turn, be disadvantageous for Diem and its reputation.

Diem currency adhered to the regulatory requirements of global standards to fully secure against illegal abuse of all private information and finances. Considering the various data protection issues being faced by Facebook, it was unanimously decided and agreed by the Association to make this system a private blockchain, which would imply that it will remain centralized to some extent and continue to benefit its founder first. 

Issues faced by Libra (Diem)

The open-access setup, an inherent part of Diem, i.e., it shall be available to anyone to build products and create apps, comes with various drawbacks and benefits. With fewer barriers to entry, competition would increase, and creativity will get a platform to prosper and benefit others. But, on the other hand, it may increase the chances of disreputable applications accessing a user’s digital currency.  

The Whitepaper entails the currency to be decentralized. In addition, the privacy practices and the problems surrounding them continue to create issues, and they might also hinder Diem from emerging as a mainstream form of currency. 

Buy Libra (Diem): Conclusion

Libra coins have been the topic of discussion since Facebook announced it. It can contribute to changing the dynamics of the cryptocurrency market. Diem isn’t making a singular entry, but the thing that might bolster its presence is the specially designed Novi wallet that would store the currency and also the Diem Association that would manage everything. However, there are some crucial grounds on which it lacks substance and fails to provide a solution. Despite all these things, Diem will come to the cryptocurrency space sooner or later.

Frequently Asked Questions

Is Libra (Diem) Coin a cryptocurrency?

Much like Bitcoin, Litecoin, and other cryptocurrencies, Diem is a cryptocurrency. It, like all cryptocurrencies, doesn’t need a central bank to operate, uses cryptographic security, and runs on a public ledger.

Libra Coin uses permissioned blockchain. What is meant by that?

Diem is set to start as a permissioned blockchain; that is, the members of the Diem Association will control the network. Unlike the regular permissionless blockchain, the prospects of a person becoming a miner by acquiring the equipment will be determined by the Association. Despite being highly decentralized, due to the high number of nodes, they are slow.

Who will be in charge of Libra (Diem) Coin?

Diem Association shall be the in-charge of Diem Coin. It is an independent, non-profit organization in Switzerland and will primarily validate the transactions and manage the Diem Reserve. 

Will Facebook have centralized control over Diem?

Facebook would not have centralized control over Diem Coin, and it has already clarified that all the power shall be transferred to Diem Association once it is launched.

What will I be able to buy with Libra Coin?

Along with the Libra coin, Facebook also plans to launch the Novi wallet, a safe place where users could store their coins and receive and send money to other users. Apart from money transfers, it is also planned that the company would facilitate transactions through coins. As Uber and eBay are early investors, it may be possible that users could pay for these services using Diem coins. 

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