The new coin has been dubbed the “independent regional version of Libra”. Binance confirmed the launch is due to the fact the company has a presence in several countries, has its native blockchain in place and has hopes of reshaping the financial system in the world.
Binance co-founder, Yi He commented:
We believe that in the near and long term, stablecoins will progressively replace traditional fiat currencies in countries around the world, and bring a new and balanced standard of the digital economy,
We hope to achieve a vision, that is, to reshape the world financial system, allow countries to have more tangible financial services and infrastructures, protect their financial security and increase the economic efficiency of countries.
The announcement of the coin stated that the purpose of the project is to develop stablecoins and digital assets pegged to fiat currencies that are localised. Binance welcomes governments and organisations with a strong influence on a global scale to join the project and collaborate.
However, Venus is very much like Facebooks Libra coin that also plans to serve the unbanked and facilitate low-fee money transfers globally. Recently it was announced that Libra is being Examined by Europe’s Antitrust Regulators.
Following comparisons of the two coins Binance CEO Changpeng Zhao tweeted while Venus would help to push cryptocurrency adoption, it does not look to dominate Libra. “Always happy to co-exist. In fact, this should help Libra, if you think about it. Will leave it at that.”
Pushing adoption, yes. Domination, no. Always happy to co-exist.
In fact, this should help Libra, if you think about it. Will leave it at that. https://t.co/HLSywLb2mi
— CZ Binance (@cz_binance) August 19, 2019
Due to this tweet, it is believed that this could be a hint that Venus coin will operate in countries where Libra is not able to.