Categories: EducationFAQ

What Is BitBay?

BitBay is one of those projects which may transform the way we think about free markets. With decentralized marketplaces becoming more popular, it is only normal there will be some steep competition in this area. BitBay is similar to OpenBazaar in some ways, although there are some interesting aspects to it which make it stand out.

What is BitBay Exactly?

BitBay is a project dedicated to redefining global trade as we know it today. For the longest time, people have relied on centralized services to buy and sell goods and services on the Internet. eBay is a great example of such a centralized marketplace. BitBay aims to decentralize the marketplace concept altogether by using innovative technologies. Being able to buy and sell goods and services online without middlemen will open up a lot of new business opportunities.

How Does it Work?

There are a few aspects of BitBay which make it stand out. First of all, the marketplace uses unbreakable smart contracts, which are also referred to as double-deposit escrow. Dishonest behavior needs to be nipped in the bud from day one, especially when dealing with decentralized marketplace solutions. Without a proper escrow service, buyers and sellers would be at continual risk of suffering financial losses.

The BitBay team focuses on security in other ways as well. Funds are stored in a multisignature wallet, which provides the aforementioned built-in smart contracts. The BitBay team currently claims their multisig wallet is unhackable, which is quite a bold statement. The project also provides encrypted communication, decentralized hosting, protected anonymity, and more. There is a lot to this project that will be of interest to users and investors alike.

Related Post

Interestingly enough, the BitBay team has also come up with a creative way to prevent the theft of passwords. Rather than having this information entered through one’s normal keyboard or by clicking a button, the platform uses a virtual keyboard. As such, keylogging becomes a non-issue, even though that doesn’t necessarily mean criminals won’t find a way to bypass this security measure. BitBay also supports Tor and proxy options for added privacy, which is another positive aspect.

The BitBay Currency

A decentralized marketplace needs to have its own currency these days. In the case of BitBay, that currency goes by the name BAY, and it can be used to buy goods and services on the marketplace. It is also a currency which will be subject to a dynamic peg. More specifically, it will become possible to peg BAY to fiat currencies when a deal is agreed upon to guard against volatility. It is an interesting feature, although it’s yet to be implemented.

The Road Ahead for BitBay

The year 2018 will be rather hectic for the BitBay team, but in a good way. The mobile wallet app was released not long ago, and we will see new templates for buying and selling anything on BitBay in early March. The finalized smart contract templates will be unveiled in Q2, together with the test client for the BAY dynamic peg. The actual peg should go live at some point in Q2, although that may be pushed back a bit depending on how the testing goes.

JP Buntinx

JP Buntinx is a FinTech and Bitcoin enthusiast living in Belgium. His passion for finance and technology made him one of the world's leading freelance Bitcoin writers, and he aims to achieve the same level of respect in the FinTech sector.

Share
Published by
JP Buntinx

Recent Posts

Bitwise Launches Its First Tokenized Fund With $259M in Assets and 4% Annual Yield

Bitwise Asset Management has just made its first move into tokenized funds, and it comes…

20 hours ago

Binance Launches US Stocks and ETFs Trading for Non-US Users With Zero Commission

Binance just made a move that blurs the line between crypto exchange and traditional brokerage…

21 hours ago

NEAR Protocol Ships Confidential Payments, Crosses $19B in Intents Volume, and Partners With Bermuda Government

NEAR Protocol has had a month that most blockchain projects would stretch across an entire…

2 days ago

Chainlink Records 7 New Integrations Across 6 Services and 4 Chains

Something is becoming increasingly clear about Chainlink, the integrations are not slowing down. The protocol…

2 days ago

Circle Freezes $12.6 Million in Zama’s Confidential USDC Contract on Ethereum

Blockchain investigator ZachXBT has flagged a major stablecoin freeze that is sending shockwaves through the…

3 days ago

Exponent Finance Launches V2 To Expand Institutional Yield Markets On Solana

From a primarily interest rate swap niche product, Exponent has developed into an onchain capital…

4 days ago