# Bisq https://github.com/bisq-network/bisq Beybase team (community): https://keybase.io/team/bisq Links: [[Bitcoin Ecosystem]] ## Intro https://docs.bisq.network/intro.html ### What Bisq is Bisq is a **decentralized bitcoin exchange** best understood in terms of its major component parts: 1. Bisq is a cross-platform **desktop application** that allows anyone to buy and sell bitcoin in exchange for national currencies and other cryptocurrencies. 2. Bisq is a **trading protocol** that enables individuals to exchange directly with one another over the internet, eliminating the need for trusted third party exchange services. 3. Bisq is the **peer-to-peer network** formed by Bisq applications discovering, connecting to, and working with one another to implement the Bisq trading protocol. The Bisq network is _fully_ peer-to-peer in that it requires no centrally-controlled servers and has no single points of failure. Bisq is **not a company**. Bisq is **free software** released under version 3 of the GNU Affero General Public License. Bisq is _built_ by individuals around the world who choose to work together, and Bisq is _used_ by individuals around the world who choose to trade with Bisq over many other exchange alternatives. What’s needed is an exchange where **users keep control of funds**, that **is private by default**, and that **defends freedom of transaction**. We built Bisq to meet these needs. Where Bitcoin’s motto is "be your own bank," Bisq’s is "**be your own exchange.**" ### How Bisq keeps funds secure - Bisq is **entirely non-custodial**; users stay in control of fiat and cryptocurrency funds - Trades include **security deposits** from buyer and seller to prevent fraud - Trading funds and security deposits are locked in a **2-of-2 multisig escrow** - Disputes are handled through a **decentralized human mediation and arbitration system** ### How Bisq keeps data private - Using Bisq requires **no registration or centralized identity verification** - Every Bisq application is a **Tor hidden service** - Bisq has **no central servers or databases** to record data - **Data is encrypted** such that trade details are readable only by counterparties ### How Bisq resists censorship - Bisq’s network is a **fully distributed P2P network**, and thus difficult to shut down - Bisq’s network is **built on top of Tor**, and thus inherits Tor’s own censorship resistance - **Bisq is code**, not a company; it is not incorporated, and it cannot be disincorporated ## Orderbook asymmetry ![[Screen Shot 2021-08-04 at 6.45.35 PM.png]] - All the order books look like this - It appears that there is greater demand for getting back into the panopticon than there is for getting out... - The asymmetry is especially pronounced on XMR/BTC - Hypothesis: - It is easy to buy XMR and then act like you are just holding it. Since you never "sell" the XMR, you never incur capital gains - However, turning the XMR into BTC is harder - Except the panopticon doesn't run on BTC, it runs on USD? What's so hard (or desirable) about converting to BTC? - You can certainly spend BTC at more places. But I doubt that is the primary explanation - It makes more sense that BTC is more transparent and easier to track. BTC is somewhat of an extension to the panopticon. Having an obfuscated source (i.e. unlinked from your XMR) is desirable - presumably people using Bisq would report the XMR->BTC conversion as trading profits ## Backup and Recovery https://docs.bisq.network/backup-recovery.html ## Account Limits https://bisq.wiki/Account_limits ## Documentation https://docs.bisq.network/index.html ## Run a seed node https://docs.bisq.network/exchange/howto/run-seednode.html A seed node operator has the right to: - file a compensation request over 200 BSQ for setting up a seed node - file a monthly compensation request. We define 50 BSQ per month as an appropriate compensation per seed node per month. ## DAO (with BSQ token) https://docs.bisq.network/dao-technical-overview.html The BSQ token is a colored coin on [[Bitcoin]] ## FAQ https://bisq.wiki/Frequently_asked_questions ## [[Money Laundering]] - If [[Bisq]] is used for [[Money Laundering]], then its [[Bitcoin]] exchange rate should be lower than in other places - Similarly to how [[Purse]] was able to offer a 30% discount on products purchased via [[Amazon]]... it's basically a way to launder [[Amazon]] gift cards Actually, there are more buyers than sellers (red is buyers). Maybe it is not used for money laundering after all ![[Screen Shot 2021-12-14 at 8.25.32 PM.png]]