Gamma-ray bursts (GRBs) are proposed to originate from the mergers of binary systems containing either two neutron stars (NS-NS) or a black hole and a neutron star (BH-NS) at cosmological distances. These mergers produce complex, long-duration bursts due to magnetic flares generated by the Parker instability in a differentially rotating post-merger disk. Some bursts may also result from neutrino-antineutrino annihilation into electrons and positrons. An optically thick fireball, initially around 100 km in size, expands relativistically and radiates energy. This model addresses previous objections, including the optical depth issue and the Ruderman limit, by showing that relativistic beaming allows the fireball to radiate efficiently. The model predicts that GRBs will be accompanied by gravitational wave signals detectable by LIGO. The merger of NS-NS or BH-NS binaries leads to the release of energy, with NS-NS mergers occurring at a rate of ~10^-6 to 10^-5 yr^-1 per galaxy. The energy released in a burst is ~10^51 erg, and the source size is ~100 km. The model explains the complex profiles and durations of GRBs through magnetic flares and reconnection events in the post-merger disk. Neutrino interactions may also produce some bursts. The scenario accounts for various observed features, including precursor emissions, complex time profiles, and power-law spectra. The model suggests that the energy is primarily released through magnetic processes, which may explain cyclotron absorption features. The scenario also addresses the issue of separating photons from baryons, as the magnetic field can be efficiently separated from matter. The model predicts that GRBs will be accompanied by gravitational wave signals, and that the merger timescale and energy release can be determined through future observations. The model is considered a conservative hypothesis, as it uses well-known binary systems and aligns with observed burst distributions. The scenario provides a plausible explanation for most observations and circumvents many arguments against the cosmological merger model of GRBs.Gamma-ray bursts (GRBs) are proposed to originate from the mergers of binary systems containing either two neutron stars (NS-NS) or a black hole and a neutron star (BH-NS) at cosmological distances. These mergers produce complex, long-duration bursts due to magnetic flares generated by the Parker instability in a differentially rotating post-merger disk. Some bursts may also result from neutrino-antineutrino annihilation into electrons and positrons. An optically thick fireball, initially around 100 km in size, expands relativistically and radiates energy. This model addresses previous objections, including the optical depth issue and the Ruderman limit, by showing that relativistic beaming allows the fireball to radiate efficiently. The model predicts that GRBs will be accompanied by gravitational wave signals detectable by LIGO. The merger of NS-NS or BH-NS binaries leads to the release of energy, with NS-NS mergers occurring at a rate of ~10^-6 to 10^-5 yr^-1 per galaxy. The energy released in a burst is ~10^51 erg, and the source size is ~100 km. The model explains the complex profiles and durations of GRBs through magnetic flares and reconnection events in the post-merger disk. Neutrino interactions may also produce some bursts. The scenario accounts for various observed features, including precursor emissions, complex time profiles, and power-law spectra. The model suggests that the energy is primarily released through magnetic processes, which may explain cyclotron absorption features. The scenario also addresses the issue of separating photons from baryons, as the magnetic field can be efficiently separated from matter. The model predicts that GRBs will be accompanied by gravitational wave signals, and that the merger timescale and energy release can be determined through future observations. The model is considered a conservative hypothesis, as it uses well-known binary systems and aligns with observed burst distributions. The scenario provides a plausible explanation for most observations and circumvents many arguments against the cosmological merger model of GRBs.