When Facebook formally unveiled its Libra cryptocurrency Last week, as soon as the Libra whitepaper became public, the crypto community erupted in discussion. They wondered if Libra, designed as a dual-token ecosystem, would rival or complement well-established digital currencies like Bitcoin. BTC ) and ether ( ETH ).
These discussions have not died down; in fact, they've got a new angle. Rumors are spreading about Ethereum possibly being represented in the Libra Association. Ethereum This buzz involves the concept of joining the Libra Association, aspiring to become a validator for its core network.
A June 24 Twitter thread from Ameen Soleimani, head of SpankChain, laid out a possible scenario where a decentralized autonomous organization, or DAO, could collaborate with a legal entity to bring Ethereum into the heart of the Libra ecosystem.
But *who* is ETH? Which org should join? @ethereum foundation? @ConsenSys ?
Imagine if a new organization emerged, with the backing of @AragonProject , as a hybrid legal org + DAO to join?
— Ameen Soleimani (@ameensol) June 24, 2019
Unveiling the Libra whitepaper last week, Facebook disclosed there would be about 30 organizations acting as the initial validators of Libra — a coveted role that comes with a $10 million entry fee.
Heavyweights like Visa, Mastercard, and eBay have already joined, but the Libra protocol's need for approximately 70 further validators, based on its Byzantine fault tolerance consensus model, means there's space for newcomers.
With seats still open, Ethereum stepping in could break new ground — marking the first time a public blockchain community would have representation in such governance. While enterprises like Coinbase and Xapo have bought validation roles, this move would be distinct.
But critical questions arise: Who would represent Ethereum, and how? Soleimani offers some insight on this topic.
A DAO on a Mission
Soleimani, SpankChain's CEO, stated that once a 'hybrid legal org + DAO' is established, it might kick off a security token offering to gather the $10 million needed for Libra validation.
Once established, this entity could play a direct role in Libra's governance and collaborate on projects linking Ethereum and Libra, such as network bridges, Soleimani suggested.
This organization would need a structure giving token holders from the STO some management influence, allowing them a say on how the Libra validator node is run. @lex_node any thoughts on this?
— Ameen Soleimani (@ameensol) June 24, 2019
But what would motivate the Ethereum community to support this idea? And why would Libra's existing supporters agree to it? Soleimani suggests this fusion could unite 'the ETH & Libra open source dev communities.'
Soleimani, former ConsenSys visionary, also hinted that Ethereum's representatives might have the power to advocate for Ether as part of Libra's reserve currencies. This talk extends to Bitcoin's potential inclusion, but the basket's makeup remains unconfirmed. If Ether joins, it would no doubt elevate Ethereum in mainstream crypto awareness.
For Libra, bringing ETH into the fold as a validator presents these benefits:
1. It adds credibility among crypto enthusiasts.
2. Gains access to a dynamic open source developer community.
3. Mitigates against Ethereum's independent community growing beyond Libra's constraints.— Ameen Soleimani (@ameensol) June 24, 2019
According to SpankChain's CEO, adding an Ethereum voice could bring credibility and increased output to the budding Libra crypto plan.
Soleimani's proposals remain just that — proposals. Yet with Libra on the horizon, these overtures are sure to spark numerous discussions in the near future. Indeed, there is already more formal talk about creating a 'LibraDAO'.
An initial list of projects and individuals who could enrich LibraDAO membership (token sale participants) has been compiled. https://t.co/fkYacCVbwf
Please feel free to suggest others and offer feedback! The success of LibraDAO hinges on its collaboration with Ethereum ????
— Eva Beylin (@evabeylin) June 25, 2019
MetaCartel Working to Build ETH-Libra Crossovers
Soleimani, who has been instrumental in bringing MolochDAO Notably, MetaCartel — a relatively fresh DAO — is actively working on a cross-chain solution they've codenamed SpicyBridge, in honor of their chili pepper logo. Taco Team Six, one of MetaCartel's development squads, leads this charge.
It's the inaugural mission for the DAO's new Engineering Director ????????
Today is Pedro Gomez's ( @pedrouid He will oversee the integration of CDAI-Chain and the SpicyBridge (Libra – ETH Bridge) while providing technical due diligence for our pipeline ????️♂️
MetaCartel's early venture into Libra territory affirms its goal to amplify Ethereum's DeFi landscape. Meanwhile, strategic debates will continue over Ethereum's alignment with Libra.
— MetaCartel (@Meta_Cartel) June 24, 2019
William M. Peaster crafts analytical pieces on Ethereum, Dai, and Bitcoin within the cryptoeconomy, contributing to platforms like Blockonomi, Binance Academy, Bitsonline, and more. He's passionate about smart contracts, DAOs, dApps, and the Lightning Network and is delving into Solidity. Reach him on Telegram via @wmpeaster
