In a surprising turn of events, Jack Dorsey’s ambitious decentralized bitcoin/Web development project has been officially discontinued. This project, known as TBD, was part of a broader initiative by Block, formerly Square, to revolutionize the internet with a new layer of identity and trust built atop Bitcoin. Launched in 2021, TBD aimed to create decentralized identity apps and re-envision global payments and commerce through its tbDEX project.
Jack Dorsey has been a vocal advocate for a decentralized internet, a vision he believes can be realized through what he calls ‘Web5’. This initiative is an evolution of the internet that aims to return control and ownership of data back to the users, a stark contrast to the current centralized systems where tech giants hold significant power over user data.
Dorsey’s critique of the current state of the internet, including Web2 and the emerging Web3, is that they are still too centralized. Web2 saw the rise of platforms like Google and Facebook, which centralized user data and content, while Web3, despite its decentralized promise, is perceived by Dorsey as being too heavily influenced by venture capitalists and limited partners, leading to a new form of centralization.
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Dorsey’s Web5 aims to address these concerns by leveraging the Bitcoin blockchain to create a truly decentralized web platform. Dorsey’s approach with Web5 is to build an ‘extra decentralized’ web platform that not only decentralizes data and content but also decentralizes identity. The goal is to enable users to own their data and identities without the need for intermediaries.
Despite the potential to transform the digital landscape, TBD faced significant challenges. The project’s closure seems to be a strategic move by Block to refocus its resources on more profitable ventures. According to recent reports, Block is now redirecting its efforts towards the development of Bitcoin mining hardware, following strong Q3 profits and securing a deal with Core Scientific for its new 3nm mining chips.
The decision to wind down TBD reflects the volatile nature of the tech industry, where innovation must be balanced with financial viability. Dorsey’s vision for a decentralized web—dubbed ‘Web5’—promised to reinvent the internet by enabling users to own their data and identities. However, the lack of clear monetization strategies and the need to cut costs have led to the project’s end.
Despite the ambitious nature of Web5, it faces challenges, especially in terms of widespread adoption and the development of a sustainable ecosystem around it. However, the idea of a decentralized web aligns with the original ethos of the internet—a free and open space for all, without gatekeepers controlling access and data.
The closure of TBD marks the end of an era for Dorsey’s crypto ambitions but also signals a new direction for Block. The company’s focus on Bitcoin mining hardware development suggests a shift towards infrastructure that supports the growing demand for cryptocurrency mining solutions. This move aligns with the current trend of Bitcoin prices reaching new all-time highs, emphasizing the importance of accumulating coins and providing secure storage options outside centralized platforms.
The foundation of Web5 is coined on the belief that Bitcoin, with its robust and secure blockchain, is the ideal platform to support this new internet. Dorsey’s vision includes decentralized identity apps that allow users to control their personal data and share it securely. This would also extend to global payments and commerce, potentially transforming how transactions are conducted online.
As the tech world continues to evolve, the discontinuation of TBD serves as a reminder of the challenges faced by companies attempting to innovate in the rapidly changing landscape of the internet and cryptocurrency. While the dream of a decentralized web may be on hold, the pursuit of new frontiers in technology continues unabated. The legacy of TBD will live on as a testament to the bold vision of its creators and the ever-present quest for innovation in the digital age.