Digital Assets: Jack Dorsey’s Square Proposes Decentralized Bitcoin Exchange tbDEX (Whitepaper)

November 22, 2021 | Digital Assets, News
https://dailyalts.com/wp-content/uploads/2021/11/bitcoin-g34db8d91a_640.jpg

In a whitepaper, TBD, Square’s bitcoin business proposes a protocol that will improve the on-ramp rails into bitcoin.

Bitcoin’s creator’s vision was for an economy that allowed all participants to freely transact their business without the need for trusted intermediaries. TBD announced today a whitepaper setting out their vision for taking bitcoin to the next level in the global economy facilitating decentralized finance. (TBD)

“The current state of Bitcoin and other crypto technologies is still beyond the reach of everyday people. For instance, gaining access to your first cryptocurrency generally involves going through a centralized exchange. Accessing decentralized financial services then requires multiple asset transfers and transaction fees each step of the way. Aside from gatekeepers and cost, the complexity and sheer unintelligibility of this process today is a prohibitive barrier to entry for most.”

tbDEX protocol

What will the proposed bitcoin exchange do?

“It provides the infrastructure necessary to create a ubiquity of on-ramps and off-ramps directly between the fiat and crypto financial systems without the need for centralized intermediaries and trust brokers. This makes crypto assets and decentralized financial services more accessible to everyone,” says the whitepaper.

The protocol seeks to promote global financial inclusion “without the permission, participation, or benefit of financial intermediaries.”

“Globally, 1.7 billion adults lack access to the banking system, yet two-thirds of them own a mobile phone that could help them access financial services,” the paper says.

“Decentralized and trustless systems create a world that empowers individuals — one in which the right to engage in payments is neither subject to proving creditworthiness and the ability to pay account fees, nor subject to censorship when an intermediary’s values do not comport with the payer or payee.”

However, transaction fees will apply on tbDEX – only they will depend upon the transacting parties’ participation in the negotiation of trust for consummating the transaction.

“Transaction costs are ultimately driven by risk. At maximum anonymity, transaction costs will necessarily be higher; at maximum disclosure, they should be lower. This approach to price discovery allows the marketplace to find the right balance,” said TBD.

Related Story: Square Mulling A Hardware Wallet For Bitcoin

Free Industry News

Subscribe to our free newsletter for updates and news about alternatives investments.

  • This field is for validation purposes and should be left unchanged.


Shape

Latest Alternative Investment News

https://dailyalts.com/wp-content/uploads/2022/06/justice-gba45571bc_640.jpg
Digital Assets: Grayscale Protests SEC Rejection Of Spot Bitcoin ETF, Files Suit Against Regulator
June 30, 2022     Digital Assets, Latest News, News, Regulations

Grayscale Investments, the largest digital asset manager globally, has filed a suit against the SEC for rejecting its application to convert the Grayscale Bitcoin Trust into a spot bitcoin ETF….

https://dailyalts.com/wp-content/uploads/2022/06/Twelve-sunglasses.png
Venture Capital/ESG: Twelve Raises $130M For World’s First Carbon Transformation Platform

Twelve has raised a $130 million Series B round to scale up its carbon transformation technology that converts captured CO2 into products traditionally made from fossil fuels. The firm’s technology…

https://dailyalts.com/wp-content/uploads/2022/06/amc-g39f4f8446_640-overlay.png
FinTech: Sam Bankman-Fried Of FTX Rejects Rumors He Is Acquiring Robinhood
June 30, 2022     Digital Assets, FinTech, News

FTX, the crypto platform owned by billionaire Sam Bankman-Fried, has scotched media reports that it was pursuing a deal to acquire commission-free trading app Robinhood (NASDAQ: HOOD). Bloomberg said Monday…

https://dailyalts.com/wp-content/uploads/2022/06/bitcoin-g9a41d1d1c_640-overlay.png
Alternative Investments/Digital: Amidst A Crypto Winter, 21Shares Launches The World’s Cheapest Physically Backed Bitcoin ETP

21Shares AG has launched a bitcoin ETP tailor-made for today’s crypto market, one that has been mauled by rampaging bears and gripped by a “crypto winter.” The 21Shares Bitcoin Core…