Jack Dorsey's Square publishes whitepaper for decentralized exchange tbDEX

Dorsey Promotes Bitcoin Adoption

At this year’s biggest Bitcoin event ever, the Bitcoin Conference in Miami, Jack Dorsey had many plans for Bitcoin. He claimed that Bitcoin adoption was the biggest goal he was currently pursuing.

Dorsey followed up those words with action. For example, it is now possible to buy Bitcoin with the cash app from financial services company Square. Dorsey is also incorporating Bitcoin on Twitter. But that’s not all. Square is currently working on building a decentralized exchange (DEX).

Plans for the so-called tbDEX were made back in August of this year. We reported on the creation of a new division specializing in bitcoin and cryptocurrencies.

Whitepaper of the tbDEX

tbDEX tbDEX

In the first draft of tbDEX’s whitepaper released yesterday, some content that differs from normal DEX became clear. Probably the biggest difference is that it will allow fiat currencies to be deposited and withdrawn on the exchange.

Fiat currencies are very unusual for decentralized exchanges. This is partly because DEX place a high value on anonymity. Users of a DEX are generally not required to provide any personal information there.

However, the regulations of fiat currencies would not allow this. Thus, it will not be possible to open a wallet completely anonymously on tbDEX. The registration is to be done via a decentralized ID. Despite the deanonymization, the whitepaper lists some advantages. Among them are resistance to censorship, unauthorized access and competitive liquidity.

Another notable difference from most DEX is the system on which it is built. Most popular DEX like Pancakeswap, Uniswap & Co. do not rely on pre-existing blockchains like the Ethereum Chain or the Binance Smart Chain. The tbDEX only offers a number of entry and exit points to the corresponding cryptocurrencies or their blockchains. Further information on this is not yet known.

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