[bisq-network/proposals] Bisq 2.0 - Social Trading Expansion Proposal (#332)

Andrew Kamal notifications at github.com
Thu May 27 22:58:50 CEST 2021


Hi, @pazza83 @chimp1984 I have done some edits, please look over them: https://github.com/Mentors4EDU/Bisq-Proposal#readme

Particularly:

## Addressing Liquidity
In regards to liquidity, it is of my opinion that liquidity wouldn't be too much of an issue in the long run. Also, it may not be the best reason as to why something should or should not be developed. While Bisq still isn't in its infancy and alot of its users tend to be Bitcoin maximalist and non-sellers, this has more or less to do with Bisq's technological premise. Yes, liquidity is quite small, but the technology in regards to supporting high liquidity is within reach. It is of my opinion that with integrations such as social trading and the features discussed in proposals such as these, liquidity will no longer be an issue.

# New Privacy Integrations
Integrations for privacy and privacy preservation are of the outmost importance. That is why instead of just focusing on reputation, one must also focus on numerous privacy layers in regards to reputation. Currently, even given the P2P compatibilities and the difficulty to store data without sacrificing privacy, comes new ideas centered around tackling these issues. These issues can not be tackled in a way that isn't decentralized or doesn't make sense through the lens of technological compatibility.

## Preserving Privacy
As mentioned, privacy preservation is of the outmost importance. While, transactions are still hashed on Bitcoin's blockchain, there are still other layers of privacy that can be integrated beyond this. This is especially true in relation to preservation of trade history or other related data.

## Layers of Anonymity
An example integration can be an anonymity layer or custom sidechain, that focuses on preserving and hashing data or being like a secondary shield. This can be custom coded and built as a P2P decentralized feature with no central authority or database.

## Validation Mechanisms
Numerous data and validation mechanisms can be put into place. This includes how Bisq already completes market orders, as well as variations of privacy-preserving transnational escrows for different forms of trades. Instead of over-complicating the solution, the focus should be on technological protocols that don't integrate a form of data collection, but do integrate a form of data shielding and encryption without actually storing the data.

### Regarding Reputation
The same formalities can apply to reputation. There could be voting mechanisms given profiles are anonymous. However, taking this a step further, if one properly integrates various forms of transnational escrows and already shields data, then reputation shouldn't be an issue. If you can rank trades anonymously and also not push invalid trades through, then that is already the primary focus. Bisq already does a great job in many of these things, but integrating extra layers of privacy while having something such as social trading, can really reiterate both the privacy-preserving and network compatibilities that make Bisq a great contender.

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