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December 5, 2022
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Vitalik Buterin tells how Jack Dorsey’s TBD can build Bitcoin DEX

Ethereum co-founder Vitalik Buterin described how he envisions Jack Dorsey building TBD’s Bitcoin DEX. However, he is not very impressed so far.

The success of DeFi (decentralized finance) blockchain applications has not gone unnoticed by Square Payments (NYSE: SQ) CEO Jack Dorsey and Vitalik Buterin talk about how Jack Dorsey’s TBD can build Bitcoin DEX.

The engineer, businessman and BTC defender announced recently that his blockchain project, TBD, will enter the market creating a Bitcoin DEX.

Vitalik Buterin “Skeptical” about Bitcoin DEX

In a recent interview, Ethereum co-founder Vitalik Buterin told Bloomberg Technology that he was not very impressed with the new venture.

Buterin thinks it fundamentally lacks a sense of the qualitative difference between Bitcoin and smart contract, Turing-complete chains like Ethereum among a growing field of others that continue to attract millions in capitalization.

Buterin said:

“I am skeptical of these decentralized Bitcoin-based funding projects. So basically because the difference between Bitcoin and Ethereum is that in Ethereum there is native functionality that allows you to essentially directly place ETH or Ethereum based assets into these smart contracts, into these vaults where there are arbitrary conditions of any kind that can then rule how these assets are released. ”

But a Bitcoin DEX would be different:

“Bitcoin doesn’t have this functionality to the same extent. Jack will basically have to create his own system that enforces these rules, and then at the Bitcoin layer the bitcoins will just have to belong to, probably a multi-sign wallet controlled by Jack or just the system participants. It looks similar, but it will end up being something with a much weaker trust model. ”

Dorsey said that DEX will be completely decentralized and without permission, without itself or TBD exercising any different control over it than other peers on the network.

Jack Dorsey likes “Principles, Creation Story, Resilience” of Bitcoin

Jack Dorsey can be described as a Bitcoin maximalist. The founder and CEO of Twitter (NYSE: TWTR) and Square Payments has said in the past that he believes bitcoin will be the Internet’s native currency. He quotes the “Principles” of the cryptocurrency, its “creation story” and yours “resilience” as the reason.

So it’s no surprise that Dorsey’s bitcoin-focused blockchain project has decided to create a completely decentralized exchange (DEX) for the main digital asset.

Doing so would elaborate the decentralization and permissionless architecture principles of cryptocurrency to a qualitatively new level of functionality.

Source: CryptoPotato

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