Jack Dorsey’s Decentralized Bitcoin published in White Paper on Friday
The co-founder and CEO of Twitter and Square, Jack Dorsey has released a white paper on Friday with the detailed plans for creating a decentralized Bitcoin (BTC) exchange platform using Square named tbDEX. This white paper says that unlike other DEX or decentralized exchange platforms, tbDEX will not use a trustless model, and there won’t be governance tokens of its own in the platform. Instead, this will be a text protocol that will be solely dependent upon trustworthiness without any means to control access.
In its essence, the tbDEX will be far less decentralized than any other DEX. because every user will first have to prove their identity using Know-your-Customer or KYC. This will be done to comply with regional regulations of the user’s state or city or even the country in which the user resides. After going through the identity verification, users can connect their wallets with the exchange platform.
To track the transactions conducted on the decentralized exchange platform, blockchain analytic solutions will be added that can either be built-in or a third party transaction tracking system. This type of transaction tracking system is controversial because it can unveil the user’s data, such as wallet IDs, wallet address, etc., to the transaction parties. But supporters of the exchange platform are also claiming that this kind of monitoring is also necessary to find out about illegal activities.
But there is also a chance to win the support of the crypto enthusiast because in this exchange platform, the transaction can be reversed during the financial rug pulls to stop the loss of the investors. This feature is not offered by any other decentralized exchange platform or DEX.
