Being a very important part of the Microsoft Azure blockchain, Bitshares is a decentralized crypto exchange founded in July of 2014. Bitshares is the child of Dan Larimer’s vision ,who is a visionary who holds the title of co-founder of Steemit, EOS as well as Cryptonomex. Formerly known as Protoshare (PTS) , Bitshares is a decentralized exchange platform that wish to revolutionize the current way of trading cryptocurrencies. Bitshares had successfully established an exchange platform on blockchain to allow users to not rely on converting cryptocurrencies to fiat currencies to ensure the stability of their trades and investments.
So gain a deeper understanding on what Bitshares does, we need to first understand how does conventional exchanges work. The traditional ways of trading cryptocurrencies on an exchange always involve fiat currencies, which means that people always convert their crypto to and from fiat currencies. The downside of doing this is that the anonymity that comes along with crypto and the blockchain platform will no longer exist. While it is beyond the shadow of the doubt that centralisation is still necessary to equate and evaluate crypto prices to real life assets such as United State Dollar or valuable metal such as Gold and Silver. However, it is also obvious that in the modern era where people values a lot about their privacy, a decentralised, anonymous system is also needed and that is what Bitshares trying to provide.
To achieve a decentralise and anonymous, Bitshares introduces BitAsset. BitAsset can be think as a coin which has tied to real world assets where the value of the coin mirrors the value of the assets. For instance, a BitAsset known as BitUSD mirrors the value of United State Dollar. The presence of BitUSD allows you to convert your Bitshares token into BitUSD which is exactly the same when you convert you coin into USD, except for the fact that by using BitUSD, you are always on the blockchain itself. Advantages of this is that not only your anonymity is perfectly secured, the transactions are also instantaneous with cheaper transaction fees.
To further explore what Bitshares really is and how it operates, We have provided the original and unedited PDF of Bitshares (BTS) Whitepaper for our readers to understand the detail of it .