The blockchain economy - the rapidly evolving ecosystem of cryptocurrencies and marketplaces associated with them - is defined by decentralization. At its very core is the drive to replace systems that rely on a central authority with systems that govern themselves, that derive their strength from sharing authority, and that respect individual privacy and freedom.

1. WHAT IS A
BLOCKCHAIN-BASED OR
DECENTRALIZED
MARKETPLACE?

2. JOIN THE CONVERSATION
ON TWITTER
@BITBAYOFFICIAL

3. ABOUT
BITBAY
BitBay is a suite of free-to-use,
multi-platform applications
including the world’s first
fully-functional Decentralized
Marketplace.

4. Want to see
everything our
advanced client can
do?
VIEW ROADMAP

5. This driving force toward
decentralization was what motivated
the development of Bitcoin.
And that same goal underpins the
emergence of decentralized
marketplaces - the blockchain economy.

6. A market or exchange is said to be
centralized when all buyers and sellers
transact in a single venue, like a trading
floor, website, or exchange. All buyers &
sellers can interact with all other buyers &
sellers.

7. THE PRIMARY BENEFIT OF SUCH A
MARKET STRUCTURE FOR USERS
IS CONVENIENCE.YOU ASK?
There is a single place to submit orders, a
single order book and a single price.

8. This pools liquidity in one market, reducing
search and transaction costs. And it promotes
price discovery, with new information quickly
captured in the market price. Usability and
efficiency is at the core of the model. But this
comes at a hefty cost.

9. First, there is typically a loss of privacy.
Second, there is a loss of control. Users’
funds are held in a central repository. The
entity controlling that repository has
ultimate control of them.
Third, there is a loss of security.
Centralized systems are exposed to
technical faults with critical infrastructure.

10. Decentralized,
marketplaces seek to overcome these
problems, restoring primacy to the core
principles of individual control, privacy and
security, while at the same time retaining
the desirable, liquidity enhancing,
characteristics of centralized markets.

11. They achieve this by replacing the
centrally hosted venue with a virtual
one, built on peer-to-peer
interactions, that provides access to
the same, shared, order book, but
over a decentralized network.

12. Rather, it is operated by the people,
for the people. Eliminating central
oversight gives participants much
greater freedom and scope to govern
themselves.

13. Blockchain-based marketplaces operate
on their own encrypted platforms
hosted across a network of computers.
There is no point of attack which could
cause the whole network to be
compromised and no central database
that can be corrupted or fraudulently
altered.
DECENTRALIZATION ALSO
MAKES THE MARKET HIGHLY
RESILIENT.

14. Alongside currency exchanges is a class of
decentralized marketplaces that seek to
serve the needs of individuals and
businesses seeking to buy & sell goods &
services on the ‘real’ side of the
cryptoeconomy.

15. The Bitbay client enables sellers to list
goods or services for sale, just as they
do on other popular e-commerce
auction sites.
Users can also hold reverse auctions,
in which sellers compete on price to
be the supplier.

16. And to ensure that participants act
honestly, in the absence of central
oversight, BitBay’s double-deposit
escrow system eliminates incentives
to cheat by making dishonest
behaviors unprofitable.

17. Despite looking and functioning much like
a conventional website-based
marketplace, BitBay is, in fact,
underpinned by blockchain technology &
encrypted peer-to-peer communications.
It is completely decentralized, with all of
the upsides that come with it. Privacy,
security and self-governance are
paramount.

18. Alongside ‘traditional’ markets
for goods & services, blockchain
technology has opened the door
to the development of innovative
new marketplaces for all sorts of
other things.

19. The blockchain economy is
ultimately about individual freedom.
At its most simple, it achieves this
through the replacement of systems
that rely on centralized hubs, with
systems based on distributed
networks.

20. They are more democratic, more
resilient and more secure. And they
can achieve all of those things
without sacrificing the benefits of
centralization - namely, liquidity and
price efficiency. As such,
blockchain-based marketplaces offer
us the possibility of new, better and
fairer, ways to organise the economy
we share.

21. Click HERE to
get started
today.
Have any
questions?
Ask HERE