[bisq-network/proposals] Use Keybase to increase accessibility to Bisq for new traders with no funds for security deposit, trading and mining fees (#283)

pazza notifications at github.com
Fri Nov 27 16:48:44 CET 2020


## Use Keybase to increase accessibility to Bisq for new new traders with no funds for security deposit, trading and mining fees

This is an idea for using Keybase to increase accessibility to Bisq for new traders that do no have any Bitcoin.

It would be great to get your feedback.

### Description

For new users of the platform Bisq requires approximately 0.007 BTC for traders to make their first trade. 

This is made up of:

- 0.006 BTC Security deposit
- 0.001 BTC Miner and Trade fees

New users of Bisq that have no Bitcoin often ask in Bisq channels how they can acquire their first Bitcoin to start trading. General responses are:

1. Find a friend
2. Find a Bitcoin ATM
3. Buy off an Exchange
4. Use Local Bitcoins
5. Use Paxful

For example recent Reddit post: [How to Obtain Your First Bitcoin](https://www.reddit.com/r/bisq/comments/jzad5e/how_to_obtain_your_first_bitcoin/)

Recent Keybase chat: 
![keybase](https://user-images.githubusercontent.com/66367547/100461581-e17f4300-30c0-11eb-9a00-8ab38e89960e.png)

For new users of the platform often choose to trade on Bisq due to Privacy, anonymity provided. Bisq offers a platform of no requirements for Know Your Customer (KYC)  or Anti Money Laundering (AML).

Most of the above options have the following issues

- Not private
- Not anonymous
- May require KYC
- Sends a user off to start their BTC journey on another platform

More and more countries have introduced regulation for Bitcoin ATMs to require users complete KYC. It is becoming increasingly difficult for people to purchase Bitcoin without KYC.

I have been thinking of an idea to keep new users within the Bisq ecosystem and enable them to quire their first  0.007 BTC with no security deposit needed.

### Idea

Bisq to set up a channel on the Bisq Keybase to facilitate new users to purchase 0.007 BTC from traders without security deposit. 

Eg: # buy-bitcoin

### Assumptions

The idea I have is predicated on the following assumptions:

- Keybase is an important resource for Bisq, therefore, Bisq should not do anything that would risk it's ability to use Keybase. I have checked Keybase's [acceptable use policy](https://keybase.io/docs/acceptable-use-policy) and this idea sits within it.
- BTC seller that want access to # buy-bitcoin would have to request access from the channel owner (I don't think this is the proper term for it). 
- Traders that wanted to sell could pay a fee eg 50 BSQ per annum to access this channel.
- Trader that wanted to sell could pay a BSQ bond to ensure they adhered to trade protocols eg 2,000 BSQ to access platform
- BTC buyer that want access to # buy-bitcoin would have to request access from the channel owner. No fees to pay.
- BTC buyer would **only be able to buy 0.007 BTC**
- BTC buyer would post on # buy-bitcoin what they are looking to buy. eg "I am looking to buy 0.007 BTC using Revolut using GBP is anyone online that can take the offer"
- BTC seller would then respond "hi, I can sell you 0.007 BTC on Revolut for 15%* over market. This would be £84, let me know if you would like to take the offer. I am here for the next 1 hour" *I am note sure if it would be of benefit for a fix amount to be charged. You do not want competition between traders. This is more about who is online at that moment to service the buyers needs. If fixed amount. I propose 15% this would be enough to cover trade deposit and mining fees, even during busy periods, and enough for the seller to make a small profit for the service they are providing.
- Trade can be taken to DMs and completed 
- The  # buy-bitcoin channel would be moderated. Any Traders can be removed at the discretion of the channel owner. If Trader is unhappy they can appeal to @Wiz, who I believe has the Keybase maintainer role
- No refunds, no mediation, no arbitration, buyer and seller beware
- No DAO compensation requests

### Benefits to new traders with no BTC

- Semi Private
- Semi Anonymous
- No KYC
- A quick and easy way to get their first BTC in a P2P manner
- Chance to get early access to the Bisq community
- Start their BTC journey getting familiar with Keybase. I think this is a big plus. I didn't access Keybase until I had a problem that needed support. It would be great if traders first experience of Keybase was a positive one. I would expect active Bidq users active on Keybase are more likely to continue to develop their relationship with Bisq as their go-to for BTC trades.

### Benefits to Bisq

- Increases accessibility to Bisq to much more people
- Increases engagement of new traders with established community at early stage
- Encourages community participation
- Keep new traders on Bisq platforms
- Potential revenue if access to # buy-bitcoin channel is charged for
- Happy buyers and sellers 

### Risks

- Only semi Private
- Only semi Anonymous
- Relies on trust and reputation of the traders. This is not what Bisq is built on.
- Reputation damage for Bisq if things go wrong
- No mediation if things go wrong for traders
- There is risk future trades may occur off Keybase. 

### How to mitigate the negatives

- Privacy and anonymity - Users are free to set up profiles in Keybase as they wish
- Trust and reputation of the seller can be gained from keybase links to social (Github, Twitter, Reddit etc). Whilst this is different from the Bisq client, trust and reputation makes communities stronger. 
- Trust and reputation of the buyers is less of an issue for sellers are choosing who to trade with and what payment methods to use. They are also charging a markup which will in have the risk of things going wrong built in
- Wiki, Keybase etc would make it clear the separate protocol that is required for these trades. Limiting reputation damage for Bisq. and reducing the probability of trades going wrong.
- Regular moderation would be needed to ensure spammers / scammers are removed.
- Policy set up for traders to adhere to to keep trades limited to the scope of the interactions that come from the # buy bitcoin channel. It would be easy to set up an 'mystery shopper' account to see if this was being adhered to. Traders violating the rules would be removed and risk the burning of their bond.


### My personal perspective

Bisq is as a platform that is an on / off ramp for fiat/ BTC in a P2P and decentralized way.

Successful platforms must find way to onboard new users and increase the accessibility to as many people as possible. 

New users today with no BTC are Bisq's future.

If I can help onboard a new user today that does not have BTC, help introduce them to the Bisq community and subsequently that user goes on to help contribute to, and add value to Bisq, I would be very happy. If that happened once in a thousand trades I would still be very happy.

> "I believe the children are our future
> Teach them well and let them lead the way"





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