Announcing a new project: POWSWAP.
POWSWAP is a no-bullshit smart contract/platform for trading Bitcoin hashrate derivatives.
What does no Bullshit mean? No middlemen. No oracles. No escrows. Nothing but Bitcoin.
Sign up at powswap.com.
Why is this a big deal?
POWSWAP is a no-bullshit smart contract/platform for trading Bitcoin hashrate derivatives.
What does no Bullshit mean? No middlemen. No oracles. No escrows. Nothing but Bitcoin.
Sign up at powswap.com.
Why is this a big deal?
This works today in Bitcoin Core on Mainnet, no soft-forks required.
The basic protocol does not require participation of any other parties other than you and the person your trading against.
This is real #DeFi.
Why would anyone want to trade these? Is it too niche?
The basic protocol does not require participation of any other parties other than you and the person your trading against.
This is real #DeFi.
Why would anyone want to trade these? Is it too niche?
Hashrate derivatives let you trade new strategies:
1) Miners can buy a hedge if they think the difficulty will go up putting them out of business
2) Miners can hedge if they think their mining operation might 'blow up' dropping hash rate.
3) Miners can lever up new ops
1) Miners can buy a hedge if they think the difficulty will go up putting them out of business
2) Miners can hedge if they think their mining operation might 'blow up' dropping hash rate.
3) Miners can lever up new ops
4) HODLers can buy insurance against hashrate drops
5) HODLers can sell against a large hashrate change in order to generate passive interest.
6) Traders can do their thing in between the two to generate profits off of inefficiencies
There are many other types of trades possible
5) HODLers can sell against a large hashrate change in order to generate passive interest.
6) Traders can do their thing in between the two to generate profits off of inefficiencies
There are many other types of trades possible
Points 6 and 5 bear repeating: HODLers can generate passive interest on their coins and buy insurance.
This helps stabilize Bitcoin for end users, as well as pushes Bitcoin further to be a competitive savings platform.
POWSWAP isn't too niche , every Bitcoin holder can benefit.
This helps stabilize Bitcoin for end users, as well as pushes Bitcoin further to be a competitive savings platform.
POWSWAP isn't too niche , every Bitcoin holder can benefit.
Hashrate derivative markets will have opportunities for making money, but larger impact of a liquid hashrate market is to stabilize Bitcoin's hashrate production. Allowing miners to leverage also incentivizes hashrate growth.
This makes Bitcoin more secure. We all win.
This makes Bitcoin more secure. We all win.
I put POWSWAP out a bit early: the core protocol works, but functional clients are still in early engineering. You can sign up today at powswap.com to get updates for alpha testing & provide feedback on how you might use these contracts.
Lastly, if you're interested in helping, hit the DMs :)
