SQUARE ANNOUNCES PROPOSAL FOR A DECENTRALIZED BITCOIN EXCHANGE
According to a statement issued on Square’s website, TBD, Square’s Bitcoin company, today published the whitepaper for its proposed decentralised bitcoin exchange, tbDEX.
“We believe in an inclusive economy. “We must create on-ramps to this future in which everyone has access to and participation in the economy,” the statement said.
The tbDEX protocol intends to bridge the divide between the fiat and bitcoin worlds, since the majority of people continue to get wages and pay taxes in fiat money. The initiative intends to make it simpler for anyone interested in exchanging their depreciating fiat currency for appreciating bitcoin to do so in the most pure free market environment possible.
“We suggest a system that does not depend on a federation to manage permissions or access to the network, nor does it impose a minimum degree of confidence between counterparties,” the statement reads. “There is no such thing as a governance token. Rather than that, the tbDEX protocol enables users to directly negotiate confidence — or to freely and deliberately depend on trusted third parties to vouch for the counterparty.”
The statement indicated that transaction costs will be set by the free market, depending on the quantity of information disclosed by each participant. As a result, total anonymity would be more expensive than comprehensive revelation of personal information.
“The tbDEX protocol also enables the safe exchange of the bare minimum identification information required to fulfil counterparty obligations, whether legal, regulatory, or linked to any other risk factor,” according to the release. “The protocol as a whole does not collect or store personally identifying information.”
The tbDEX white paper has been published, providing further data on the protocol’s internals and technicalities. It has also been made available on GitHub, enabling interested developers to contribute.
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