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Trade P2P BTC/USDT Privately with SIBEX







Full MemberActivity: 186Merit: 102Trade P2P BTC/USDT Privately with SIBEX Introducing the SIBEX P2P Network and Trading System for on-chain trading March 18, 2020, 05:06:34 PM

Last edit: March 20, 2020, 03:43:08 PM by 687_2 #1 Introducing the SIBEX P2P Network: Trade Bitcoin, USDT, and Ethereum On-Chain using Cross Chain Atomic Swaps



SIBEX is a P2P network and trading system for creating financial contracts which are enforced entirely by the Bitcoin and Ethereum networks. To help you move assets "across" the Bitcoin and Ethereum chains, SIBEX uses the "cross chain atomic swap" algorithm first described by TierNolan here:



When you use SIBEX you are trading Bitcoin, USDT, and Ethereum on their respective chains. This means there are no third parties involved in any stage of the transaction. Every SIBEX user operates their own server, which means you can trade e.g. Bitcoin for a US Dollar (synthetic):



with very, very good privacy

without a bank account or touching any part of the legacy fiat financial system

without giving anyone else control over your coins

without fear of being cheated by your trading counterparty or an exchange middleman

The result is a trading system which is easily accessible to nearly anyone, costly to manipulate price and other data, and incredibly costly to cheat. It enables use cases such as the transfer of assets between Over the Counter (OTC) brokers in different countries, where differences in legal systems make traditional financial contracts difficult or impossible to enforce. Wouldn't it be nice to buy the dip with complete privacy and without ever giving up control of your coins? Now you can



Overview of the SIBEX Trading System



The SIBEX Trading System consists of:



Your SIBEX self-service user portal: https://portal.sibex.io



This is where every person who is new to SIBEX will start. The self-service user portal is used for general administration: to retrieve your SIBEX License Key, find the software license agreement, and so on. This is where you create an "account"; it should feel familiar with respect to custodial/centralized cryptocurrency exchanges.







The first step is to fill out a very basic form with personal data, and then you'll be given a License Key if the data can be validated and the data does not belong to a person under international sanction. Why is this step necessary? There are two key reasons:



1. It is a mechanism to throttle users who might attack rationally self-interested users of the network, for example by intentionally creating trades which will fail, baiting unsuspecting trading counterparties into locking up liquidity for some minutes. The traders will not lose money, except for on-chain fees, but this is frustrating and has a financial opportunity cost. No one can see the attacker's trades or really know who the attackers are, but if a pattern of such disruptions emerges SIBEX AG can then attempt to triage where the attacks are originating and revoke the associated License Key.

2. To demonstrate that you are not intentionally or knowingly trading with a person who is internationally sanctioned (the Bisq surprise).



In short, this is a mechanism that makes it possible to "kick" users who abuse the network. Without such a mechanism, normal users would lose confidence in their trades and the network would become unusable.



Your SIBEX personal server: https://docs.sibex.io/#/guides



SIBEX users are encouraged to operate SIBEX alongside their own full nodes: Bitcoin Core and Geth. However, this is inconvenient, and most traders do not have the technical competency nor the inclination to operate such a system themselves. To make setup fast and easy, SIBEX AG offers a simple AWS CloudFormation script which nearly anyone can follow. Most traders have their AWS personal server running in just a few minutes, and are trading in just a few minutes more after their server fully boots up. It's not much different than setting up a new home internet router. You will use your License Key to unlock the software after you setup your server.







Every personal server runs an instance of sibexd and a partial bitcoind and geth. Transaction validation is performed by remote nodes operated by SIBEX AG. This keeps the monthly cost of the personal server low (or even $0, depending on the promotion AWS is offering), while sacrificing none of the core benefits of the SIBEX Trading System. Professional Traders and serious Bitcoiners/Ethereans, as well as the seriously paranoid, will likely choose to download sibexd and join the SIBEX network using their own hardware, perhaps also using Tor, mixnets, etc.



Your personal server is where your private keys are created and managed. To use a trading bot or to make local copies of your remote wallet files (standard wallet.dat and geth file formats), simply provide your SSH keys when you create your personal server, and then you can connect to it anytime.



Your SIBEX trading interface: https://trade.sibex.io



The Trading Interface can be accessed from your web browser. For convenience SIBEX AG hosts the Trading Interface at )







The SIBEX Trading Interface is patterned after professional commodities trading software, which is designed to help you interact with markets with precision and accuracy. The SIBEX Trading Interface will look different from what you might be used to if you have used custodial "crypto" exchanges, because those interfaces are designed to encourage users to trade more money, more often. SIBEX is better suited for buying the dip and making calculated moves, rather than trading quickly.



There are unique features, such as the "Dark" option for orders. This means that you can broadcast an offer to peers on the network, but the offer won't appear in their Trading Interface. You can use this feature to avoid affecting the price.







Q&A



Q: Is the software open source?

A: Some repositories we maintain, such as the SIBEX Go API Client, are MIT Licensed and available publicly. See Gitlab:



Q: What are the fees?

A: For every trade, you will pay on-chain miner and SIBEX fees. The SIBEX fee targets 2 Bips, which is 0.02% (trade amount * 0.0002).



Q: Who are you?

A: We are Bitcoiners and Ethereans working together to build trading and financial tools for a truly decentralized world. We have offices in Switzerland and Hong Kong. Stop by for a coffee and say hello!





SIBEX is a P2P network and trading system for creating financial contracts which are enforced entirely by the Bitcoin and Ethereum networks. To help you move assets "across" the Bitcoin and Ethereum chains, SIBEX uses the "cross chain atomic swap" algorithm first described by TierNolan here: https://bitcointalk.org/index.php?topic=193281.msg2224949#msg2224949 When you use SIBEX you are trading Bitcoin, USDT, and Ethereum on their respective chains. This means there are no third parties involved in any stage of the transaction. Every SIBEX user operates their own server, which means you can trade e.g. Bitcoin for a US Dollar (synthetic):The result is a trading system which is easily accessible to nearly anyone, costly to manipulate price and other data, and incredibly costly to cheat. It enables use cases such as the transfer of assets between Over the Counter (OTC) brokers in different countries, where differences in legal systems make traditional financial contracts difficult or impossible to enforce. Wouldn't it be nice to buy the dip with complete privacy and without ever giving up control of your coins? Now you canThe SIBEX Trading System consists of:This is where every person who is new to SIBEX will start. The self-service user portal is used for general administration: to retrieve your SIBEX License Key, find the software license agreement, and so on. This is where you create an "account"; it should feel familiar with respect to custodial/centralized cryptocurrency exchanges.The first step is to fill out a very basic form with personal data, and then you'll be given a License Key if the data can be validated and the data does not belong to a person under international sanction. Why is this step necessary? There are two key reasons:1. It is a mechanism to throttle users who might attack rationally self-interested users of the network, for example by intentionally creating trades which will fail, baiting unsuspecting trading counterparties into locking up liquidity for some minutes. The traders will not lose money, except for on-chain fees, but this is frustrating and has a financial opportunity cost. No one can see the attacker's trades or really know who the attackers are, but if a pattern of such disruptions emerges SIBEX AG can then attempt to triage where the attacks are originating and revoke the associated License Key.2. To demonstrate that you are not intentionally or knowingly trading with a person who is internationally sanctioned (the Bisq surprise).In short, this is a mechanism that makes it possible to "kick" users who abuse the network. Without such a mechanism, normal users would lose confidence in their trades and the network would become unusable.SIBEX users are encouraged to operate SIBEX alongside their own full nodes: Bitcoin Core and Geth. However, this is inconvenient, and most traders do not have the technical competency nor the inclination to operate such a system themselves. To make setup fast and easy, SIBEX AG offers a simple AWS CloudFormation script which nearly anyone can follow. Most traders have their AWS personal server running in just a few minutes, and are trading in just a few minutes more after their server fully boots up. It's not much different than setting up a new home internet router. You will use your License Key to unlock the software after you setup your server.Every personal server runs an instance of sibexd and a partial bitcoind and geth. Transaction validation is performed by remote nodes operated by SIBEX AG. This keeps the monthly cost of the personal server low (or even $0, depending on the promotion AWS is offering), while sacrificing none of the core benefits of the SIBEX Trading System. Professional Traders and serious Bitcoiners/Ethereans, as well as the seriously paranoid, will likely choose to download sibexd and join the SIBEX network using their own hardware, perhaps also using Tor, mixnets, etc.Your personal server is where your private keys are created and managed. To use a trading bot or to make local copies of your remote wallet files (standard wallet.dat and geth file formats), simply provide your SSH keys when you create your personal server, and then you can connect to it anytime.The Trading Interface can be accessed from your web browser. For convenience SIBEX AG hosts the Trading Interface at https://trade.sibex.io . When you "log in", you will enter the credentials for your personal server, including its URL. You are always connecting to your own server, which only you have access to. The first time you log in you will need to provide your License Key. Here's an example of what your trading interface will look like (this is not real data, this is regtestThe SIBEX Trading Interface is patterned after professional commodities trading software, which is designed to help you interact with markets with precision and accuracy. The SIBEX Trading Interface will look different from what you might be used to if you have used custodial "crypto" exchanges, because those interfaces are designed to encourage users to trade more money, more often. SIBEX is better suited for buying the dip and making calculated moves, rather than trading quickly.There are unique features, such as the "Dark" option for orders. This means that you can broadcast an offer to peers on the network, but the offer won't appear in their Trading Interface. You can use this feature to avoid affecting the price.Q: Is the software open source?A: Some repositories we maintain, such as the SIBEX Go API Client, are MIT Licensed and available publicly. See Gitlab: https://gitlab.com/sibex/sibex-go-api-client Most of the code is copyright protected in private repositories, but we will make any portion of our code available for audit by a professional and reputable security auditing firm if you are willing to pay for the audit. The trade settlement portion of our code, which we believe is the most sensitive portion, has already been reviewed by X41: https://www.x41-dsec.de/ . If you would like a copy of the security audit report, please send an email to sales@sibex.io Q: What are the fees?A: For every trade, you will pay on-chain miner and SIBEX fees. The SIBEX fee targets 2 Bips, which is 0.02% (trade amount * 0.0002).Q: Who are you?A: We are Bitcoiners and Ethereans working together to build trading and financial tools for a truly decentralized world. We have offices in Switzerland and Hong Kong. Stop by for a coffee and say hello! Buy the dip with the security and privacy of your own wallet: use cross chain atomic swaps to trade Bitcoin, USDT, and Ether. Trades are secured and settled on-chain. https://sibex.io

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Trade P2P BTC/USDT Privately with SIBEX







Full MemberActivity: 186Merit: 102Trade P2P BTC/USDT Privately with SIBEX Re: Introducing the SIBEX P2P Network and Trading System for on-chain trading March 20, 2020, 06:27:07 AM #2

Q: How can I have any privacy, if you are asking for personal information to get started?



A: Imagine it is 1997, and you go to a retail electronics store to buy the new Age of Empires game for your PC. You pick up the box, take it to the sales counter, give the person some cash, and you get a receipt. Then you walk out the door, go home, and install the game on your PC.



This is basically what you are doing when you use SIBEX software. However, two things change at the sales counter. The first is you don't have to pay any money for a license of SIBEX software. The second change is this: because the software publisher (SIBEX AG) is a Swiss company, and also does business in Hong Kong (SIBEX LTD), these governments ask that companies not do business with anyone who is sanctioned. So, instead of money, you need to present some personal data which demonstrate you are not a sanctioned person. Then instead of a physical copy of the software on a disk, we give you a software License Key, and you can download and use SIBEX on any machine you like. Easy!



When you first install SIBEX on your desktop or in a cloud server, you'll be asked for your License Key. That's it- there is no other connection to your identity. Nobody knows what you are doing with the software, nobody can see your balances. The only thing SIBEX AG can do is revoke that License Key. Even then, this action would not block you from accessing your Bitcoin and Ether, because SIBEX software (sibexd) is connecting to your existing Bitcoin Core and Geth APIs in order to do operations such as get those wallets' balances and broadcast raw transactions.











Q: How can I have any privacy, if you are asking for personal information to get started?A: Imagine it is 1997, and you go to a retail electronics store to buy the new Age of Empires game for your PC. You pick up the box, take it to the sales counter, give the person some cash, and you get a receipt. Then you walk out the door, go home, and install the game on your PC.This is basically what you are doing when you use SIBEX software. However, two things change at the sales counter. The first is you don't have to pay any money for a license of SIBEX software. The second change is this: because the software publisher (SIBEX AG) is a Swiss company, and also does business in Hong Kong (SIBEX LTD), these governments ask that companies not do business with anyone who is sanctioned. So, instead of money, you need to present some personal data which demonstrate you are not a sanctioned person. Then instead of a physical copy of the software on a disk, we give you a software License Key, and you can download and use SIBEX on any machine you like. Easy!When you first install SIBEX on your desktop or in a cloud server, you'll be asked for your License Key. That's it- there is no other connection to your identity. Nobody knows what you are doing with the software, nobody can see your balances. The only thing SIBEX AG can do is revoke that License Key. Even then, this action would not block you from accessing your Bitcoin and Ether, because SIBEX software (sibexd) is connecting to your existing Bitcoin Core and Geth APIs in order to do operations such as get those wallets' balances and broadcast raw transactions. Buy the dip with the security and privacy of your own wallet: use cross chain atomic swaps to trade Bitcoin, USDT, and Ether. Trades are secured and settled on-chain. https://sibex.io

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Trade P2P BTC/USDT Privately with SIBEX







Full MemberActivity: 186Merit: 102Trade P2P BTC/USDT Privately with SIBEX Re: Introducing the SIBEX P2P Network and Trading System for on-chain trading March 21, 2020, 06:43:02 AM #3



A: If you are used to trading on BitMex, Binance, Bitfinex, or similar "retail trading" platforms, and you expect the same experience on SIBEX, you will be disappointed. Why? These platforms are designed to encourage you to 1) deposit as much money as possible (it's their money then, not yours, and they can do whatever they want with it), and 2) trade as much as possible, as often as possible. These two things are never in a trader's best interest. These platforms treat Bitcoin as a currency, and therefore give you an FX currency trading experience. But Bitcoin is commodity money, and even has been legally designated as such in the US.



Professional commodities trading software, the kind that people who move trillions of $ worth of commodities each day use to make a living, looks and feels like something that was made in the 1990s. Probably because it was. But there's a reason it hasn't changed much: it works well and makes the people who use it enough money to make a good living.



SIBEX is the first professional commodities trading software which is available to anyone. Here's an example of what is different: the "Markets" view is where you interact with the global market for BTC/USDT.



Notice that individual offers are grouped together into tranches, so you can better understand the current environment (data from regtest):







When you click on a tranche, you will see individual offers that other people have made. Remember there is no way to fake these offers - the money must exist, because the SIBEX software queries your wallet balance and does not allow you to create offers unless you have sufficient funds to complete a trade. Here is an example of individual offers:







What is happening here is people are broadcasting offers through the SIBEX P2P network. It's like a "bulletin board system", where you create an offer, ad everyone can see it. If you want people to *not* see your offer, you can make it "dark", by choosing the "darkpool" option. This means the network sees the offer, but the user does not. This can be helpful if you want to sell a large amount of coins but don't want to affect the price.







Q: Who should trade using SIBEX software?A: If you are used to trading on BitMex, Binance, Bitfinex, or similar "retail trading" platforms, and you expect the same experience on SIBEX, you will be disappointed. Why? These platforms are designed to encourage you to 1) deposit as much money as possible (it's their money then, not yours, and they can do whatever they want with it), and 2) trade as much as possible, as often as possible. These two things arein a trader's best interest., and even has been legally designated as such in the US.Professional commodities trading software, the kind that people who move trillions of $ worth of commodities each day use to make a living, looks and feels like something that was made in the 1990s. Probably because it was. But there's a reason it hasn't changed much: it works well and makes the people who use it enough money to make a good living.SIBEX is the first professional commodities trading software which is available to anyone. Here's an example of what is different: the "Markets" view is where you interact with the global market for BTC/USDT.Notice that individual offers are grouped together into tranches, so you can better understand the current environment (data from regtest):When you click on a tranche, you will see individual offers that other people have made. Remember there is no way to fake these offers - the money must exist, because the SIBEX software queries your wallet balance and does not allow you to create offers unless you have sufficient funds to complete a trade. Here is an example of individual offers:What is happening here is people are broadcasting offers through the SIBEX P2P network. It's like a "bulletin board system", where you create an offer, ad everyone can see it. If you want people to *not* see your offer, you can make it "dark", by choosing the "darkpool" option. This means the network sees the offer, but the user does not. This can be helpful if you want to sell a large amount of coins but don't want to affect the price. Buy the dip with the security and privacy of your own wallet: use cross chain atomic swaps to trade Bitcoin, USDT, and Ether. Trades are secured and settled on-chain. https://sibex.io

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Trade P2P BTC/USDT Privately with SIBEX







Full MemberActivity: 186Merit: 102Trade P2P BTC/USDT Privately with SIBEX Re: Introducing the SIBEX P2P Network and Trading System for on-chain trading March 23, 2020, 06:51:50 AM #4

Q: How do I use a trading bot (for trading automation) with SIBEX?



A: Normally, you would need to go to the trouble of setting up a server of your own where your bot can live. But because you've likely already setup a personal server for SIBEX (see



When you log into your SIBEX server you will have access to your sibexd API. If you are a trader, not a developer, you will want to use an API Client to save yourself a lot of time on topics like authentication, and functions like "get all orders". There is no need to re-invent the wheel. We have just such an API Client written in Go, it's available here:



https://gitlab.com/sibex/sibex-go-api-client



For examples, see the tests:



With this API client traders can comfortably "talk" to the sibexd API. If you need help you can always send a support request to our mail list:



Happy algo trading





Q: How do I use a trading bot (for trading automation) with SIBEX?A: Normally, you would need to go to the trouble of setting up a server of your own where your bot can live. But because you've likely already setup a personal server for SIBEX (see https://docs.sibex.io/#/guides ) you can simply install your bot on that server. This is going to save you some money on server costs and it's going to reduce your attack surface. SSH into your SIBEX server (see https://docs.sibex.io/#/guides?id=using-a-keypair ) and then you can configure and operate your bot directly on your server.When you log into your SIBEX server you will have access to your sibexd API. If you are a trader, not a developer, you will want to use an API Client to save yourself a lot of time on topics like authentication, and functions like "get all orders". There is no need to re-invent the wheel. We have just such an API Client written in Go, it's available here:For examples, see the tests: https://gitlab.com/sibex/sibex-go-api-client/-/blob/develop/api_test.go With this API client traders can comfortably "talk" to the sibexd API. If you need help you can always send a support request to our mail list: support@sibex.io or join the telegram group and ask there: https://t.me/joinchat/EXmUulWxkrE-WMxD60IAkQ Happy algo trading Buy the dip with the security and privacy of your own wallet: use cross chain atomic swaps to trade Bitcoin, USDT, and Ether. Trades are secured and settled on-chain. https://sibex.io

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Trade P2P BTC/USDT Privately with SIBEX







Full MemberActivity: 186Merit: 102Trade P2P BTC/USDT Privately with SIBEX Re: Introducing the SIBEX P2P Network and Trading System for on-chain trading March 24, 2020, 08:02:53 AM #5

Q: Are there some jurisdictions or regions which prohibit the use of SIBEX software or access to the SIBEX P2P network?



A: There probably are, but there are many different jurisdictions and we don't know which ones might suddenly decide that people living there should not use this software.



SIBEX AG will provide a software license to anyone who is legally allowed to do business with Swiss/Hong Kong companies. If you have licensed SIBEX software, it is your responsibility to comply with whatever additional rules you need to comply with. Some products, such as our AWS CloudFormation guide, consider infrastructure provided by other companies, and these companies might have other policies and rules. Again, it's your responsibility to comply with the terms and conditions of those services. Professional users of the software will also have different record keeping and reporting rules; those users should also comply with their professional rules and standards. Buy the dip with the security and privacy of your own wallet: use cross chain atomic swaps to trade Bitcoin, USDT, and Ether. Trades are secured and settled on-chain. https://sibex.io

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Trade P2P BTC/USDT Privately with SIBEX







Full MemberActivity: 186Merit: 102Trade P2P BTC/USDT Privately with SIBEX Re: Introducing the SIBEX P2P Network and Trading System for on-chain trading March 25, 2020, 07:42:27 AM #6

Q: How do you handle the "free option" problem?



A: The "free option" problem is when the counterparty in a cross chain atomic swap has the ability to wait for some length of time before deciding whether or not to send their funds.



In SIBEX there are always only two parties to a trade: the "Initiator" and the "Participant". Who sends their funds first? In SIBEX, the parties to the trade decide this randomly. In some trades you will be the Initiator, in some you will be the Participant. When the Initiator sends their funds, the trade has started. Now, the Participant must send their funds.



It is of course impossible to force the Participant to send their funds

Nobody has access to the Participant's funds except the Participant! But it is in the best interest of both parties to send their funds as quickly as possible, in order to achieve the fastest possible settlement time and free up their available funds. That's exactly what using SIBEX software helps you to do. When both parties are operating sibexd (the SIBEX client daemon) in a professionally managed cloud environment, like AWS, the likelihood that this swap fails due to one of the parties unintentionally going offline becomes very small. That's one big reason why we've developed a simple AWS Cloudformation script for you to use.



Additionally, the SIBEX Trading Interface is designed to prevent users from entering into a trade and then bailing out. Once you've committed to a trade, you're in it until it completes. This removes access to the "free option" for 99% of users.



But what about a sophisticated user, who is operating sibexd on their own hardware, and controlling their trades using the sibexd API? Can't this person take advantage of this "free option"? Yes.



Users can always move their funds "out from under" their SIBEX client, even if they are in the middle of a trade. However, this is again where License Keys are helpful. At this embryonic stage of the SIBEX network's development this is not an issue, as most people are happy just to try trading BTC/USDT completely P2P! If this becomes a problem in the future, we can always try to find out who is doing this, and then revoke their License Key so they cannot continue to abuse the network.



Eventually, we'd like to turn the "free option problem" into a "tradeable option". But that's something for the future.





Q: How do you handle the "free option" problem?A: The "free option" problem is when the counterparty in a cross chain atomic swap has the ability to wait for some length of time before deciding whether or not to send their funds.In SIBEX there are always only two parties to a trade: the "Initiator" and the "Participant". Who sends their funds first? In SIBEX, the parties to the trade decide this randomly. In some trades you will be the Initiator, in some you will be the Participant. When the Initiator sends their funds, the trade has started. Now, the Participant must send their funds.It is of course impossible to force the Participant to send their fundsNobody has access to the Participant's funds except the Participant! But it is in the best interest of both parties to send their funds as quickly as possible, in order to achieve the fastest possible settlement time and free up their available funds. That's exactly what using SIBEX software helps you to do. When both parties are operating sibexd (the SIBEX client daemon) in a professionally managed cloud environment, like AWS, the likelihood that this swap fails due to one of the parties unintentionally going offline becomes very small. That's one big reason why we've developed a simple AWS Cloudformation script for you to use.Additionally, the SIBEX Trading Interface is designed to prevent users from entering into a trade and then bailing out. Once you've committed to a trade, you're in it until it completes. This removes access to the "free option" for 99% of users.But what about a sophisticated user, who is operating sibexd on their own hardware, and controlling their trades using the sibexd API? Can't this person take advantage of this "free option"?Users can always move their funds "out from under" their SIBEX client, even if they are in the middle of a trade. However, this is again where License Keys are helpful. At this embryonic stage of the SIBEX network's development this is not an issue, as most people are happy just to try trading BTC/USDT completely P2P! If this becomes a problem in the future, we can always try to find out who is doing this, and then revoke their License Key so they cannot continue to abuse the network.Eventually, we'd like to turn the "free option problem" into a "tradeable option". But that's something for the future. Buy the dip with the security and privacy of your own wallet: use cross chain atomic swaps to trade Bitcoin, USDT, and Ether. Trades are secured and settled on-chain. https://sibex.io