Weeks after announcing a new business called TBD within his payments firm Square to focus on the creation of decentralised financial services focusing on bitcoin, Twitter founder Jack Dorsey has finally revealed his plans on TBD. Quoting a Twitter thread from TBD project leader at Square Mike Brock, who explained about TBD in detail, Dorsey announced it to be a decentalised bitcoin exchange. He tweeted, “We’ve determined @TDB54566975s direction: help us build an open platform to create a decentralized exchange for #Bitcoin.” Decentralised exchanges are essentially peer-to-peer marketplaces for crypto buyers and sellers to connect directly without a centralised exchange acting as a middleman. Users or traders don’t have to entrust exchanges for their funds.
— jack⚡️ (@jack) August 27, 2021
On July 16, Dorsey had tweeted about TBD that Square is creating a new business focused on building an open developer platform with the sole goal of making it easy to create non-custodial, permissionless, and decentralized financial services. Essentially what TBD addresses is making it easy to fund a non-custodial wallet anywhere in the world through a platform to build on and off-ramps into bitcoin. Brock said one can think about this as a decentralize exchange for fiat. “Getting bitcoin today typically involves exchanging fiat at a centralized and custodial service like @CashApp or @Coinbase. These on- and off-ramps to Bitcoin have a number of issues, and aren’t distributed evenly around the world.”
Getting bitcoin today typically involves exchanging fiat at a centralized and custodial service like @CashApp or @Coinbase. These on- and off-ramps to Bitcoin have a number of issues, and aren’t distributed evenly around the world.
— Mike Brock (@brockm) August 27, 2021
Crypto on-ramp means crypto exchanges or any service that allows you to offer fiat money in exchange for cryptos. Off-ramp is the opposite of on-ramp where users can exchange cryptos for fiat money. Non-custodial wallets are a kind of blockchain wallets that let users have control of their funds and they manage the private key in comparison to custodial wallets where users have to only permit sending or receiving payments while the control rests with a third party.
“We believe Bitcoin will be the native currency of the internet. While there are many projects to help make the internet more decentralized, our focus is solely on a sound global monetary system for all. But including all requires a few pieces we think are missing,” added Brock.
In India, the country’s cryptocurrency trading platform WazirX in July had also announced that it will soon launch its own decentralised exchange for customers who want to keep custody of their cryptocurrencies, founder Nischal Shetty had told Financial Express Online. “WazirX at the moment is a centralized exchange and there are a lot of our customers who don’t want to have a centralized exchange. So for them, we are building a decentralized exchange,” Shetty had informed.