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.
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.