Bitshares is many things to many people. Anyone can define it depending on the services they are using from the network. For some, it’s simply a multi-layered, fully decentralized exchange with the ability to serve many markets. Bitshares was created by software developer, Dan Larimer, in 2014. Larimer also co-founded Cryptonomex, EOS, and Steemit.
It can also be considered as software database where the update permissions are executed by certain rules and cryptography practices. By being open-source, anyone can copy and modify it for their own benefit. The Bitshares platform uses bitassets called bitUSD. BitUSD follows the value of the fiat currency, USD.
Bitshares is also considered a network of interconnected nodes owned by different people across the globe. Each node has a complete copy of the platform’s ledger thus making it impossible for someone to use it for their selfish gains. This makes its filing system foolproof and immutable. For a change to be implemented, a consensus has to be attained by a larger portion of its users.
As a ledger system, Bitshares offers far better services compared to the conventional paper system that can get lost, whitened out, miscalculated, burned or even nibbled on by rats. Digital ledgers are fair but they are centrally operated and thus easily corrupted or misused. Bitshares’ records are consistent, transparent, and fortified by the latest cryptography.
Besides being a bank, currency, ledger, and exchange, Bitshares is also a community. Every individual that transacts on the network making BTS valuable is a member. Its ever-growing community is a sign that Bitshares is a promising decentralized asset exchange project.
Despite the broad definition and many-sided aspect of this project, Bitshares is vastly known for being a “smart assets” decentralized exchange. These assets are backed by BTS and can be valued in terms of other precious conventional assets like gold or USD.Through the smart assets platform, anyone can create UIAs (user-issued assets) on Bitshares which they can, in turn, use as tickets, property rights or crowdfunding with equity.
As a cryptocurrency, BTS is still trying to find its way above the dollar. Its performance (fortunately or unfortunately) mirrors that of Bitcoin. So if Bitcoin (usually called the pack leader) plummets, BTS dives as well.
Faster transactions – Bitshares and Steem are some of the leading blockchains when it comes to quick execution of transactions. BTS is said to handle over 100,000 in mere seconds.
Backed by real use – unlike some cryptocurrency projects that depend on speculation and mass adoption to succeed, BTS is backed by real-life assets and uses such as smart contracts, and Bit assets like Bitgold, Bit USD, BitOIL and several others.
Low transaction and trading fee – BTS takes only a fraction of a cent in fees for various services rendered.
It’s not the only one offering such blockchain-based solution – apparently, many established exchanges have similar projects running. For instance, the Waves platform has been doing fairly well for a couple of months now and stands to challenge Bitshares.
An overwhelming number of services – while this is a good thing, a novice investor will get confused on what exactly this project is or what it offers.
DPoS is considered centralized by some people – Bitshares run on delegated proof of stake which to some people can be considered slightly centralized.
BTS can be bought on Bittrex, ZB.com, and Poloniex under BTS ticker.
As it is with most cryptocurrency assets, the success or failure of Bitshares largely depends on the platform itself and the adoption of this decentralized exchange.
Since its inception in 2014, this project has been undergoing developments as it tries to make trading of real-life assets and securities using blockchain technology possible for all. If it qualifies in making itself the most preferred platform for this, then the value of BTS will skyrocket.