Developer Proposes Decentralized Bitcoin Hashrate Derivatives

There’s a new concept called Powswap that lets people speculate on hashrate in order to hedge against price volatility. Powswap was developed by the software engineer Jeremy Rubin who believes hashrate derivatives products allow people to leverage new trading strategies.

Also read: Regulatory Roundup: EU-Wide Crypto Regulations, New Rules in Europe, US, Asia

Powswap Where Miners and Holders Can Speculate On Hashrate

Software developer Jeremy Rubin recently announced the launch of a new project he developed called Powswap. It lets people speculate on hashrate to offer “mining derivatives with no trust required.” Essentially, in Rubin’s words, Powswap is a “smart contract/platform for trading Bitcoin hashrate derivatives” with “No middlemen. No oracles. No escrows. Nothing but Bitcoin.”

The day Rubin announced the project he explained that it works on Bitcoin Core on mainnet and that no soft forks are required. He also noted that the…