Jack Dorsey, the CEO of Twitter and Square, has revealed that the leading payment platform would be launching a new business that would concentrate solely on bringing decentralized finance to Bitcoin.
According to Dorsey, Square would be creating an avenue for crypto enthusiasts and developers alike “to create non-custodial, permissionless, and decentralized financial services” via the leading flagship crypto asset.
Though he failed to produce more details about the project, he revealed that it would be called TBD and that Square’s current strategic development lead Mike Brock would be saddled with building the team and also offering leadership guidance to them.
It is a known fact that Ethereum is the leading force in the Defi ecosystem. And currently, Bitcoin lacks smart contract capacity meaning it would be almost impossible for it to compete against Ether.
According to a previous report from us, Ethereum could settle as much as $8 trillion worth of transactions this year with a bulk of it expected to be driven by the growth in DeFi.
Also, many analysts have noted that Bitcoin’s network is less efficient and slower when compared to that of the second largest crypto asset by market cap. All of this could play against the development of Defi on the digital gold.
However, the upcoming Taproot upgrade that is coming to Bitcoin could open a floodgate of opportunities for the asset. The update would allow the network to be “more secure, private, and lightweight transactions.” This would make the coin’s network more scalable and also help to drastically reduce its transaction fees.
When this happens, this could play a pivotal role in helping Dorsey achieve his dream of a BTC-Defi ecosystem.