Jack Dorsey’s Bitcoin DEX is here. But how Bitcoin is it? Covered: Bitcoin DEX Officially Announced How Bitcoin? Who’s Making The Wallet Trustless? Bitcoin DEX Officially Announced Jack Dorsey’s Bitcoin on DeFi whitepaper was released today, November 19th, exactly like CryptosRus predicted. The DEX (short for decentralized exchange) will be known as tbDEX. However, outside […] The post It’s Official: Jack Dorsey Announces Highly-Anticipated Bitcoin DEX appeared first on CryptosRus.

It’s Official: Jack Dorsey Announces Highly-Anticipated Bitcoin DEX

Jack Dorsey’s Bitcoin DEX is here. But how Bitcoin is it?

Covered:

  • Bitcoin DEX Officially Announced
  • How Bitcoin?
  • Who’s Making The Wallet
  • Trustless?

Bitcoin DEX Officially Announced

Jack Dorsey’s Bitcoin on DeFi whitepaper was released today, November 19th, exactly like CryptosRus predicted.

The DEX (short for decentralized exchange) will be known as tbDEX. However, outside of the name, little is clear about the protocol.

How Bitcoin?

“Does it run on Bitcoin and makes use of the built in smart contract functionality?” asked one Twitter user. There was no response as of press time.

We’d love to know too. Because, after a preliminary read of the paper there is precious little detail on how “Bitcoin” this Bitcoin on DeFi project is.

This has led to some interesting Twitter interpretations going around.

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Is It Really Bitcoin On DeFi?

“The protocol operates between the counterparties rather than on the underlying crypto asset network. It could be used to agree the parameters of exchange for any asset. It won’t affect the BTC network,” said one anonymous user.

There might be some truth to that.

From the whitepaper:

“The protocol itself does not rely on a federation to control permission or access to the network. There is no governance token. In its most abstract form, it is an extensible messaging protocol with the ability to form distributed trust relationships as a core design facet.”

Essentially, it seems they’ve developed a protocol that conveys messages (or requests) between institutions (both traditional and crypto) and a wallet that stores decentralized identities.

Bitcoin DeFi Wallet

On the subjects of how wallets fit into the protocol:
“Wallet developers may design features and functionality that yield their desired user experience.”
Considering the use of “wallet developers,” tbDEX wallets are likely to be outsourced. But that’s pretty standard practice. See: the plethora of Uniswap–friendly wallets.

Bitcoin DEX: Trustless?

Arguably my favourite part of the whitepaper:
The tbDEX protocol approaches trust differently than other decentralized exchange protocols in the sense that it does not utilize a trustless model, such as atomic swaps. At first blush, this is not optimal, especially when considering the end goal of providing access to a trustless asset like bitcoin.
You read that right.
The protocol “…approaches trust differently… in the sense that does not utilize a trustless model…”
***

This is an ongoing story we will update you as we learn more.

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The post It’s Official: Jack Dorsey Announces Highly-Anticipated Bitcoin DEX appeared first on CryptosRus.