Sam Martin

<div id="highlights-block_617725d07bf3f" class="highlights">
        <ul>
                <li>Square subsidiary TBD looks to build an open platform to create a decentralized exchange for bitcoin</li>
                <li>ETH has outperformed BTC over the last 24 hours, according to TradingView data</li>
            </ul>
    
</div>



<p>TBD, a business created by Square this year, has released its whitepaper for the tbDEX protocol. </p>



<p>ETH has outperformed BTC since yesterday&#8217;s broader market sell-off. The crypto asset is showing strong similarities to bitcoin in 2017.</p>



<p>NFTs continue to show strength due to falling prices of the assets they are denominated in. </p>



<h3 class="wp-block-heading"><strong>Latest in Macro:</strong></h3>



<ul class="wp-block-list"><li>S&amp;P 500: 4,697, -0.14%</li><li>NASDAQ: 16,057, +0.40%</li><li>Gold: $1,847, -0.62%</li><li>WTI Crude Oil: $76.11, -3.67%</li><li>10-Year Treasury: 1.539%, -0.05%</li></ul>



<h3 class="wp-block-heading"><strong>Latest in Crypto:</strong></h3>



<ul class="wp-block-list"><li>BTC: $57,960, +0.56%</li><li>ETH: $4,273, +6.19%</li><li>ETH/BTC: 0.07, +5.09%</li><li>BTC.D: 42.74%, -2.28%</li></ul>



<h3 class="wp-block-heading">Square unveils tbDEX whitepaper</h3>



<p><a href="https://squareup.com/us/en" target="_blank" rel="noreferrer noopener">Square</a> subsidiary <a href="https://twitter.com/TBD54566975" target="_blank" rel="noreferrer noopener">TBD</a> released its <a href="https://tbdex.io/whitepaper.pdf" target="_blank" rel="noreferrer noopener">tbDEX whitepaper</a> on Friday.</p>



<p>“We believe Bitcoin will be the native currency of the internet,&#8221; <a href="https://cms.blockworks.co/jack-dorsey-tbd-will-be-open-platform-for-decentralized-bitcoin-exchanges/" target="_blank" rel="noreferrer noopener">said</a> Mike Brock, Square&#8217;s TBD lead. &#8220;While there are many projects to help make the internet more decentralized, our focus is solely on a sound global monetary system for all.&#8221;</p>



<p>The decentralized exchange (DEX) hopes to make digital assets and decentralized financial services more accessible by creating a ubiquity of on-ramps and off-ramps directly between the fiat and crypto financial systems without the need for centralized intermediaries and trust brokers.</p>



<p>&#8220;We are at a crossroads in our financial system,&#8221; the project&#8217;s whitepaper states. &#8220;The emergence of trustless, decentralized networks unlocks the potential for a future where commerce can happen without the permission, participation or benefit of financial intermediaries.&#8221;</p>



<p>Unlike other DEXs, tbDEX will not have its own token or utilize atomic swaps, but will instead rely on the public key infrastructure that is used for securing the internet today in conjunction with digital identifiers. The whitepaper clearly acknowledges that on- and off-ramps to fiat currencies will never be fully decentralized. </p>



<p>An overview of the protocol can be seen in the image below.</p>



<div class="wp-block-image"><figure class="aligncenter size-large"><img loading="lazy" decoding="async" width="1024" height="883" src="https://blockworks-co.imgix.net/wp-content/uploads/2021/11/Screen-Shot-2021-11-19-at-4.29.24-PM-1024x883.png" alt="" class="wp-image-11623" srcset="https://blockworks-co.imgix.net/wp-content/uploads/2021/11/Screen-Shot-2021-11-19-at-4.29.24-PM-1024x883.png?w=1024 1024w, https://blockworks-co.imgix.net/wp-content/uploads/2021/11/Screen-Shot-2021-11-19-at-4.29.24-PM-1024x883.png?w=300 300w, https://blockworks-co.imgix.net/wp-content/uploads/2021/11/Screen-Shot-2021-11-19-at-4.29.24-PM-1024x883.png?w=768 768w, https://blockworks-co.imgix.net/wp-content/uploads/2021/11/Screen-Shot-2021-11-19-at-4.29.24-PM-1024x883.png?w=1536 1536w, https://blockworks-co.imgix.net/wp-content/uploads/2021/11/Screen-Shot-2021-11-19-at-4.29.24-PM-1024x883.png?w=298 298w, https://blockworks-co.imgix.net/wp-content/uploads/2021/11/Screen-Shot-2021-11-19-at-4.29.24-PM-1024x883.png?w=303 303w, https://blockworks-co.imgix.net/wp-content/uploads/2021/11/Screen-Shot-2021-11-19-at-4.29.24-PM-1024x883.png?w=254 254w, https://blockworks-co.imgix.net/wp-content/uploads/2021/11/Screen-Shot-2021-11-19-at-4.29.24-PM-1024x883.png?w=80 80w, https://blockworks-co.imgix.net/wp-content/uploads/2021/11/Screen-Shot-2021-11-19-at-4.29.24-PM-1024x883.png?w=1538 1538w" sizes="auto, (max-width: 1024px) 100vw, 1024px" /><figcaption>Source: tbDEX <a href="https://tbdex.io/whitepaper.pdf" target="_blank" rel="noreferrer noopener">whitepaper</a></figcaption></figure></div>



<p>The protocol will be open-source and is still in its early stages of development. </p>



<h3 class="wp-block-heading">ETH/BTC</h3>



<p><meta charset="utf-8">ETH has outperformed BTC over the last 24 hours, according to TradingView, with the ETH-to-BTC price ratio rising from 0.070 to 0.074 &#8211; an increase of about 5.3%.</p>



<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="1024" height="582" src="https://blockworks-co.imgix.net/wp-content/uploads/2021/11/ETHBTC_2021-11-19_15-29-37-1024x582.png" alt="" class="wp-image-11622" srcset="https://blockworks-co.imgix.net/wp-content/uploads/2021/11/ETHBTC_2021-11-19_15-29-37-1024x582.png?w=1024 1024w, https://blockworks-co.imgix.net/wp-content/uploads/2021/11/ETHBTC_2021-11-19_15-29-37-1024x582.png?w=300 300w, https://blockworks-co.imgix.net/wp-content/uploads/2021/11/ETHBTC_2021-11-19_15-29-37-1024x582.png?w=768 768w, https://blockworks-co.imgix.net/wp-content/uploads/2021/11/ETHBTC_2021-11-19_15-29-37-1024x582.png?w=1536 1536w, https://blockworks-co.imgix.net/wp-content/uploads/2021/11/ETHBTC_2021-11-19_15-29-37-1024x582.png?w=2048 2048w, https://blockworks-co.imgix.net/wp-content/uploads/2021/11/ETHBTC_2021-11-19_15-29-37-1024x582.png?w=428 428w, https://blockworks-co.imgix.net/wp-content/uploads/2021/11/ETHBTC_2021-11-19_15-29-37-1024x582.png?w=460 460w, https://blockworks-co.imgix.net/wp-content/uploads/2021/11/ETHBTC_2021-11-19_15-29-37-1024x582.png?w=386 386w, https://blockworks-co.imgix.net/wp-content/uploads/2021/11/ETHBTC_2021-11-19_15-29-37-1024x582.png?w=80 80w" sizes="auto, (max-width: 1024px) 100vw, 1024px" /><figcaption>Source: Trading View</figcaption></figure>



<p>ETH today shows eerie similarities to BTC in 2017. </p>



<p>&#8220;I have been showing this spooky chart of ETH now vs BTC in 2017 in various forms,&#8221; Global Macro Investor Founder Raoul Pal <a href="https://twitter.com/RaoulGMI/status/1460779211849932800?s=20" target="_blank" rel="noreferrer noopener">wrote</a> in a Tuesday Twitter post. &#8220;This is my live [crypto index] on Bloomberg &#8230; even nailed this sell off &#8230; to the day and price. What happened next? A 300% rally. </p>



<p>&#8220;Now, I don&#8217;t expect perfection, but with all the other analysis I have done, something like a 100% to 300% rally is highly probable into year end,&#8221; he added. &#8220;Nothing is a certain. After that, its a tougher call but I think it possibly elongates and sees significantly higher prices.&#8221;</p>



<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="1024" height="628" src="https://blockworks-co.imgix.net/wp-content/uploads/2021/11/eth-v-btc2017-1024x628.jpg" alt="" class="wp-image-11619" srcset="https://blockworks-co.imgix.net/wp-content/uploads/2021/11/eth-v-btc2017-1024x628.jpg?w=1024 1024w, https://blockworks-co.imgix.net/wp-content/uploads/2021/11/eth-v-btc2017-1024x628.jpg?w=300 300w, https://blockworks-co.imgix.net/wp-content/uploads/2021/11/eth-v-btc2017-1024x628.jpg?w=768 768w, https://blockworks-co.imgix.net/wp-content/uploads/2021/11/eth-v-btc2017-1024x628.jpg?w=419 419w, https://blockworks-co.imgix.net/wp-content/uploads/2021/11/eth-v-btc2017-1024x628.jpg?w=425 425w, https://blockworks-co.imgix.net/wp-content/uploads/2021/11/eth-v-btc2017-1024x628.jpg?w=357 357w, https://blockworks-co.imgix.net/wp-content/uploads/2021/11/eth-v-btc2017-1024x628.jpg?w=80 80w, https://blockworks-co.imgix.net/wp-content/uploads/2021/11/eth-v-btc2017-1024x628.jpg?w=1040 1040w" sizes="auto, (max-width: 1024px) 100vw, 1024px" /><figcaption>Source: Raoul Pal</figcaption></figure>



<div class="wp-block-image"><figure class="aligncenter size-large"><img loading="lazy" decoding="async" width="1024" height="589" src="https://blockworks-co.imgix.net/wp-content/uploads/2021/11/eth-vs-btc-2017-1024x589.jpg" alt="" class="wp-image-11620" srcset="https://blockworks-co.imgix.net/wp-content/uploads/2021/11/eth-vs-btc-2017-1024x589.jpg?w=1024 1024w, https://blockworks-co.imgix.net/wp-content/uploads/2021/11/eth-vs-btc-2017-1024x589.jpg?w=300 300w, https://blockworks-co.imgix.net/wp-content/uploads/2021/11/eth-vs-btc-2017-1024x589.jpg?w=768 768w, https://blockworks-co.imgix.net/wp-content/uploads/2021/11/eth-vs-btc-2017-1024x589.jpg?w=428 428w, https://blockworks-co.imgix.net/wp-content/uploads/2021/11/eth-vs-btc-2017-1024x589.jpg?w=454 454w, https://blockworks-co.imgix.net/wp-content/uploads/2021/11/eth-vs-btc-2017-1024x589.jpg?w=381 381w, https://blockworks-co.imgix.net/wp-content/uploads/2021/11/eth-vs-btc-2017-1024x589.jpg?w=80 80w, https://blockworks-co.imgix.net/wp-content/uploads/2021/11/eth-vs-btc-2017-1024x589.jpg?w=1200 1200w" sizes="auto, (max-width: 1024px) 100vw, 1024px" /><figcaption>Source: Raoul Pal</figcaption></figure></div>



<p>&#8220;ETH is also attempting a similar flip,&#8221; a <a href="https://members.delphidigital.io/reports/deleveraging-volatility-mixed-market-signals/" target="_blank" rel="noreferrer noopener">Delphi Digital report</a> stated. &#8220;If price holds above the May 2021 closing peak, ETH will also look primed for trend continuation to the upside. If price support gives way, the hope for bulls would shift to a possible retest and bounce off the upper trend line established from the May 2021 top to the Sep. 2021 high.&#8221;  </p>



<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="1024" height="512" src="https://blockworks-co.imgix.net/wp-content/uploads/2021/11/Screen-Shot-2021-11-19-at-3.42.29-PM-1024x512.png" alt="" class="wp-image-11621" srcset="https://blockworks-co.imgix.net/wp-content/uploads/2021/11/Screen-Shot-2021-11-19-at-3.42.29-PM-1024x512.png?w=1024 1024w, https://blockworks-co.imgix.net/wp-content/uploads/2021/11/Screen-Shot-2021-11-19-at-3.42.29-PM-1024x512.png?w=300 300w, https://blockworks-co.imgix.net/wp-content/uploads/2021/11/Screen-Shot-2021-11-19-at-3.42.29-PM-1024x512.png?w=768 768w, https://blockworks-co.imgix.net/wp-content/uploads/2021/11/Screen-Shot-2021-11-19-at-3.42.29-PM-1024x512.png?w=1536 1536w, https://blockworks-co.imgix.net/wp-content/uploads/2021/11/Screen-Shot-2021-11-19-at-3.42.29-PM-1024x512.png?w=428 428w, https://blockworks-co.imgix.net/wp-content/uploads/2021/11/Screen-Shot-2021-11-19-at-3.42.29-PM-1024x512.png?w=470 470w, https://blockworks-co.imgix.net/wp-content/uploads/2021/11/Screen-Shot-2021-11-19-at-3.42.29-PM-1024x512.png?w=389 389w, https://blockworks-co.imgix.net/wp-content/uploads/2021/11/Screen-Shot-2021-11-19-at-3.42.29-PM-1024x512.png?w=80 80w, https://blockworks-co.imgix.net/wp-content/uploads/2021/11/Screen-Shot-2021-11-19-at-3.42.29-PM-1024x512.png?w=2048 2048w" sizes="auto, (max-width: 1024px) 100vw, 1024px" /><figcaption>Source: Delphi Digital</figcaption></figure>



<p>Ethereum has seen the <a href="https://etherscan.io/chart/active-address" target="_blank" rel="noreferrer noopener">number of active addresses</a> on the network continue to climb. The <a href="https://watchtheburn.com" target="_blank" rel="noreferrer noopener">net issuance</a> of ETH continues to fall towards zero, <a href="https://etherscan.io/chart/address" target="_blank" rel="noreferrer noopener">unique addresses</a> are increasing, <a href="https://dune.xyz/datanut/Polygon-MATIC" target="_blank" rel="noreferrer noopener">scaling solutions</a> are seeing increased adoption and mainstream use cases continue to unfold, such as <a href="https://www.sothebys.com/en/press/sothebys-to-announce-live-bidding-increments-in-ether-eth-cryptocurrency-for-banksys-trolley-hunters-and-love-is-in-the-air" target="_blank" rel="noreferrer noopener">Sotheby&#8217;s denominating prices in ETH</a>. </p>



<p>In addition, the <a href="https://ethereum.org/en/eth2/merge/" target="_blank" rel="noreferrer noopener">Ethereum merge</a> is right around the corner.</p>



<h3 class="wp-block-heading">Non-Fungible Tokens (NFTs)</h3>



<p>Trading data from <a href="https://opensea.io/rankings" target="_blank" rel="noreferrer noopener">OpenSea</a> and <a href="https://solanalysis.com" target="_blank" rel="noreferrer noopener">Solanalysis</a> of some of the top Solana and Ethereum projects can be found below:</p>



<div class="wp-block-image"><figure class="aligncenter size-large"><img loading="lazy" decoding="async" width="1024" height="333" src="https://blockworks-co.imgix.net/wp-content/uploads/2021/11/Screen-Shot-2021-11-19-at-4.35.47-PM-1024x333.png" alt="" class="wp-image-11624" srcset="https://blockworks-co.imgix.net/wp-content/uploads/2021/11/Screen-Shot-2021-11-19-at-4.35.47-PM-1024x333.png?w=1024 1024w, https://blockworks-co.imgix.net/wp-content/uploads/2021/11/Screen-Shot-2021-11-19-at-4.35.47-PM-1024x333.png?w=300 300w, https://blockworks-co.imgix.net/wp-content/uploads/2021/11/Screen-Shot-2021-11-19-at-4.35.47-PM-1024x333.png?w=768 768w, https://blockworks-co.imgix.net/wp-content/uploads/2021/11/Screen-Shot-2021-11-19-at-4.35.47-PM-1024x333.png?w=1536 1536w, https://blockworks-co.imgix.net/wp-content/uploads/2021/11/Screen-Shot-2021-11-19-at-4.35.47-PM-1024x333.png?w=428 428w, https://blockworks-co.imgix.net/wp-content/uploads/2021/11/Screen-Shot-2021-11-19-at-4.35.47-PM-1024x333.png?w=470 470w, https://blockworks-co.imgix.net/wp-content/uploads/2021/11/Screen-Shot-2021-11-19-at-4.35.47-PM-1024x333.png?w=389 389w, https://blockworks-co.imgix.net/wp-content/uploads/2021/11/Screen-Shot-2021-11-19-at-4.35.47-PM-1024x333.png?w=80 80w, https://blockworks-co.imgix.net/wp-content/uploads/2021/11/Screen-Shot-2021-11-19-at-4.35.47-PM-1024x333.png?w=2048 2048w" sizes="auto, (max-width: 1024px) 100vw, 1024px" /><figcaption>Top Ethereum Projects</figcaption></figure></div>



<div class="wp-block-image"><figure class="aligncenter size-large"><img loading="lazy" decoding="async" width="1024" height="278" src="https://blockworks-co.imgix.net/wp-content/uploads/2021/11/Screen-Shot-2021-11-19-at-4.36.09-PM-1024x278.png" alt="" class="wp-image-11625" srcset="https://blockworks-co.imgix.net/wp-content/uploads/2021/11/Screen-Shot-2021-11-19-at-4.36.09-PM-1024x278.png?w=1024 1024w, https://blockworks-co.imgix.net/wp-content/uploads/2021/11/Screen-Shot-2021-11-19-at-4.36.09-PM-1024x278.png?w=300 300w, https://blockworks-co.imgix.net/wp-content/uploads/2021/11/Screen-Shot-2021-11-19-at-4.36.09-PM-1024x278.png?w=768 768w, https://blockworks-co.imgix.net/wp-content/uploads/2021/11/Screen-Shot-2021-11-19-at-4.36.09-PM-1024x278.png?w=1536 1536w, https://blockworks-co.imgix.net/wp-content/uploads/2021/11/Screen-Shot-2021-11-19-at-4.36.09-PM-1024x278.png?w=2048 2048w, https://blockworks-co.imgix.net/wp-content/uploads/2021/11/Screen-Shot-2021-11-19-at-4.36.09-PM-1024x278.png?w=428 428w, https://blockworks-co.imgix.net/wp-content/uploads/2021/11/Screen-Shot-2021-11-19-at-4.36.09-PM-1024x278.png?w=470 470w, https://blockworks-co.imgix.net/wp-content/uploads/2021/11/Screen-Shot-2021-11-19-at-4.36.09-PM-1024x278.png?w=389 389w, https://blockworks-co.imgix.net/wp-content/uploads/2021/11/Screen-Shot-2021-11-19-at-4.36.09-PM-1024x278.png?w=80 80w" sizes="auto, (max-width: 1024px) 100vw, 1024px" /><figcaption>Top Solana Projects </figcaption></figure></div>



<p>If you made it this far, thanks for reading! I am looking forward to catching up on Monday.</p>



<hr class="wp-block-separator"/>



<p><strong>Get the day’s top crypto news and insights delivered to your inbox every evening.&nbsp;<a href="https://cms.blockworks.co/newsletter/" target="_blank" rel="noreferrer noopener">Subscribe to Blockworks’ free newsletter</a>&nbsp;now.</strong></p>



<hr class="wp-block-separator"/>


2017

Square Unveils tbDEX Whitepaper; ETH Outperforms BTC: Markets Wrap

Jacquelyn Melinek

<div id="highlights-block_612942f605925" class="highlights">
        <ul>
                <li>“This is the problem we’re going to solve: make it easy to fund a non-custodial wallet anywhere in the world through a platform to build on- and off-ramps into Bitcoin. You can think about this as a decentralized exchange for fiat,” Brock said. </li>
                <li>The platform will be developed in the public and open-sourced and open-protocol for any crypto wallet to use it, Brock said</li>
            </ul>
    
</div>



<p>Twitter and Square CEO Jack Dorsey said that Square’s new business, TBD, will be created to help “build an open platform to create a decentralized exchange for bitcoin,” he wrote in a tweet Friday.&nbsp;</p>



<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter"><div class="wp-block-embed__wrapper">
<blockquote class="twitter-tweet" data-width="550" data-dnt="true"><p lang="en" dir="ltr">We’ve determined @TDB54566975’s direction: help us build an open platform to create a decentralized exchange for <a href="https://twitter.com/hashtag/Bitcoin?src=hash&amp;ref_src=twsrc%5Etfw">#Bitcoin</a> <a href="https://t.co/jHYWHy1qmu">https://t.co/jHYWHy1qmu</a></p>&mdash; jack⚡️ (@jack) <a href="https://twitter.com/jack/status/1431320761474617344?ref_src=twsrc%5Etfw">August 27, 2021</a></blockquote><script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script>
</div></figure>



<p>The concept for TBD, which is held under the twitter handle <a href="https://twitter.com/TBD54566975" target="_blank" rel="noreferrer noopener">TBD54566975</a>, was “born” on July 15, as a new business for the digital payments service company Square, Dorsey previously announced.&nbsp;</p>



<p>“Square is creating a new business (joining Seller, Cash App, &amp; Tidal) focused on building an open developer platform with the sole goal of making it easy to create non-custodial, permissionless, and decentralized financial services. Our primary focus is #Bitcoin. Its name is TBD,” Dorsey <a href="https://twitter.com/jack/status/1415765941904941061" target="_blank" rel="noreferrer noopener">tweeted</a> in July.&nbsp;</p>



<p>Mike Brock, the TBD lead at Square, said in a <a href="https://twitter.com/brockm/status/1431319756049563648" target="_blank" rel="noreferrer noopener">tweet</a> Friday that there has been a lot of speculation about what TBD is and isn’t, but shared a handful of details about what direction the company will be going in.&nbsp;</p>



<p>“We believe Bitcoin will be the native currency of the internet. While there are many projects to help make the internet more decentralized, our focus is solely on a sound global monetary system for all. But including all requires a few pieces we think are missing,” Brock said.</p>



<p>Brock added that getting bitcoin typically involves exchanging fiat at a centralized custodial service like CashApp or Coinbase, but there are a number of issues at these on-and-off ramps.&nbsp;</p>



<p>“This is the problem we’re going to solve: make it easy to fund a non-custodial wallet anywhere in the world through a platform to build on- and off-ramps into Bitcoin. You can think about this as a decentralize exchange for fiat,” Brock said.&nbsp;</p>



<p>The platform will be developed in the public and open-sourced and open-protocol for any crypto wallet to use it, he said. “Permissionless or bust,” Brock added.&nbsp;</p>



<p>While the company now moves in this direction, there are still “gaps” ahead with regards to cost and scalability as well as the ability to create an exchange infrastructure between digital assets, like stablecoins, Brock said. </p>



<p>Dorsey has been a vocal supporter of bitcoin and digital assets in the past. In late July, Dorsey said that bitcoin would become a big part of Twitter&#8217;s future and labeled the cryptocurrency as one of the three major trends most relevant to the company, Blockworks previously <a href="https://cms.blockworks.co/jack-dorsey-bitcoin-will-be-big-part-of-twitters-future/" target="_blank" rel="noreferrer noopener">reported</a>.&nbsp;&nbsp;</p>



<p>Additionally, Dorsey confirmed in early July that Square was moving forward with plans to build a hardware wallet for bitcoin after hinting about the possibility in early June. The decision was announced in a <a href="https://cms.blockworks.co/jack-dorsey-confirms-square-will-make-bitcoin-hardware-wallet/" target="_blank" rel="noreferrer noopener">tweet</a> by Jesse Dorogusker, the hardware lead and TIDAL lead at Square.&nbsp;</p>



<p>Similar to the announcement about TBD’s direction, Dorsey said the wallet would be “entirely in the open” and would be “an inclusive product that brings a non-custodial solution to the global market,” making bitcoin for everyone.</p>



<p><strong><em>Want more investor-focused content on digital assets?&nbsp;<a target="_blank" href="https://cms.blockworks.co/events/digital-asset-summit-2021-2/" rel="noreferrer noopener">Join us</a>&nbsp;September 13th and 14th for the Digital Asset Summit (DAS) in NYC. Use code ARTICLE for $75 off your ticket.&nbsp;<a target="_blank" href="https://cms.blockworks.co/events/digital-asset-summit-2021-2/" rel="noreferrer noopener">Buy it now</a>.</em></strong></p>
