Square has published a whitepaper on its decentralized bitcoin exchange and users can now share it on the new platform. So read more on our latest bitcoin news today.
Square is a financial settlement firm led by Jack Dorsey who has been working on the decentralized asset platform for a year.
Now Square has published a whitepaper on the decentralized bitcoin exchange because Dorsey wants to make more money with bitcoin instead of just having it bought through the Cash app. The Twitter CEO wanted to create a new way for people to trade BTC and other currencies on a DEX popular with Ethereum. Square’s TBD division announced back in July that it was working on a decentralized exchange, but today they finally released their whitepaper.
We made a blank sheet of paper. https://t.co/ffvYGjQQ7T
– still open (@ TBD54566975) November 19, 2021
The whitepaper states that a decentralized exchange is a protocol for finding liquidity and safely exchanging assets like bitcoin or fiat money without knowing the identity of other parties. The protocol is also said to bypass financial intermediaries or centralized exchanges, such as protecting the boundary between digital currency and fiat money. Although tbDEX is built on top of Bitcoin, it is not necessarily built on the Bitcoin blockchain. It’s just a series of up and down ramps for BTC and other crypto networks, but where exactly the protocols exist is not made clear in the white paper.
It uses smart contracts to enable currency-independent transactions as decentralized exchanges also want to offer identity solutions. There is a bridge between Ethereum and the rest of the networks, but the ID is not mentioned in the white paper. The most likely answer is that Dorsey is a huge fan of Bitcoin as a digital currency. He hardly cares about Ethereum or any other currency:
“Anything my companies can do to make it available to everyone, I’ll spend the rest of my life. If I’m not in Sq. or twitter, i will work on bitcoin. If it needs more help than Square or Twitter, I’ll leave it to Bitcoin. ”
Square meters is part of the peer-to-peer payments revolution, making it pretty easy for anyone to send cash from a bank account or a seller to pay with a credit card. tbDEX will expand its mission to the crypto space and people will not be depositing cash into bank accounts but from crypto wallets themselves. Newbies to the crypto space need to dive into the digital world first, and that usually starts with buying over crypto a purse or a bank card. The whitepaper states:
“It is still very difficult for the average person, starting with traditional fiat-based payment instruments, to access the decentralized financial system directly and to get in and out of the decentralized financial system. We need a better bridge into this future. The tbDEX protocol solves this problem. ”