Andreessen Horowitz, or a16z, expects more Libra competitors to enter the space, seeing “an opportunity for a new financial network.”
As the venture firm’s general partner Katie Haun told Bloomberg in an interview published Monday, a16z expects money to become largely digital in 10 years, akin to music, books and other things that have moved online.
Haun clarified that platforms such as Venmo and PayPal are not a necessarily accurate example of digital money, as they rely on traditional banks’ “IOUs.” Instead, she outlined a crypto-related category called “internet money,” which includes Facebook-backed stablecoin project Libra and open-source payments network Celo:
“The third category is what we call internet money, and this is building off the idea of Bitcoin but it’s solving for limitations of Bitcoin. Here you’ve seen us make investments in projects like Celo and Libra. And we think there will be other entrants in this category.”