Who has a little to do with the crypto world, it has already noticed: the favorite goal of hackers are crypto exchanges. In these places, interested people will find a place to offer or buy digital currencies. But not only hackers are at risk because, by regulations or their own employees, stock exchanges can go unpredictably offline - and with them usually also the coins of the users.
If the essence of these problems is brought back to a denominator, one arrives at the well-known concept of centrality. It may be ironic, but the digital currencies known for its decentralization are still at a central point.
Bitsquare (https://bitsquare.io/) pretends that things go differently. The platform is the first real decentralized crypto exchange. It is currently in the beta phase, but is already usable for users.
Bitsquare is not a company. It is a project of volunteers, which is characterized by voluntary work and donations. Unlike the well-known exchanges, Bitsquare is not a website, but a software you download - similar to the peer-to-peer marketplace OpenBazaar.
The code for the software is open source and thus accessible to everyone. This increases the security immensely, because the code is visible to the public and thus vulnerabilities can be detected more quickly. The software is licensed under version 3 of the GNU Affero General Public License.
The trade, for example with bitcoins, happens via secured 2-of-3 MultiSig addresses. This means that there is another player to the two players. This is the Arbitrator. The concept of the MultiSig addresses and mediators was also used with OpenBazaar.
Bitsquare does not have its own conciliators. These are selected from an open and decentralized community in order to maintain fairness. To be self-conciliatory, high security deposits have to be paid. This makes the attractiveness for shady shops fall sharply.
The Bitquare software works in a peer-to-peer network, which was built on the services of the well-known gate network. The absence of central servers creates some unique advantages over central exchanges:
- No attack target for DDoS attacks
- No central storage of data and meta data
- No sudden failure and thus total loss of the coins
You do not need any registration for the use of the stock market. No one else but the traders have any information. Identity theft is thus prevented.
At the moment, around 59 old coaches are supported. The trading volume is still limited to 1 BTC per trade due to the beta, but could be raised after the beta. Several trades in a row are possible without problems.
Depending on the payment method, the processing takes a different time. State currency (euro, US dollar, etc.) can be transferred immediately (eg with OkPay) or can take a few days with a standard SEPA transfer. Bitcoin transactions take at least 10 minutes, since a confirmation of the blockchain must be maintained.
Self-made offers, however, require the peer-to-peer nature of the network, which must keep the software open. Apart from that, special offers for other participants disappear. Prices can be adjusted as a percentage of market prices. BitcoinAverage provides information on Fiat currencies and Poloniex for legacy coaches. Thus one can adjust that the own request should remain for example 1% under the market price.
Here you can download the software https://bitsquare.io/downloads/
I hope that all the information above will be useful for you.
If you have more information please leave it in the comments.
Lovely regards
@danyelk
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