Ethereum (ETH) founder Vitalik Buterin talked about how Jack Dorsey can create a Bitcoin (BTC) DEX.
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Twitter and Square CEO Jack Dorsey recently announced that blockchain project TBD will create a Bitcoin DEX.
Vitalik Buterin Suspects About Bitcoin DEX
In a new interview Vitalik Buterin told Bloomberg Technology he wasn’t too impressed with the new venture.
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Buterin thinks he fundamentally misses the qualitative difference between Bitcoin and the smart contract.
“I am skeptical of these decentralized projects funding on Bitcoin. Basically, the difference between Bitcoin and Ethereum is that Ethereum has a native functionality that allows you to place ETH or Ethereum based assets directly into these smart contracts, these lockboxes.
But Bitcoin does not have this functionality. Jack will have to create his own system that basically enforces these rules, and then the Bitcoins in the Bitcoin layer will probably have to belong to a multi-signature wallet controlled by Jack or just the participants in the system. It will look similar, but with a much weaker trust model.”
Dorsey said that DEX will be completely decentralized and that he and TBD will have no control over the network.
Dorsey, who can be described as a Bitcoin maximalist, has previously said that he believes Bitcoin will become the local currency of the Internet. That’s why Dorsey’s DEX move comes as no surprise.