Many people find it difficult to program and launch their own token. With Waves, users can not only create tokens and build smart contracts, they can also execute peer-to-peer (P2P) trading on a fully integrated decentralized exchange (DEX).
Waves Protocol is built on a Proof-of-Stake consensus mechanism, so the chance of generating the next block will depend upon the number of tokens staked. The higher the number of tokens staked, the higher the probability to generate the next block.
The smart contract functionality on Waves attracted developers to build decentralized applications in the ecosystem. This led to the creation of separate blockchain projects such as Vlostok and Waves Enterprise. However, Vlostok was later sold to GHP financial group, because they wanted to focus more on the Waves ideology and development of the Web3 ecosystem.
This review of Waves (WAVES) was created for informational purposes. This article is not intended for promotion.
In this section we will try to understand what made Waves user-friendly enough, to convince many businesses to start using the technology.
To improve scalability Waves network implemented a new protocol called the Waves-NG – Next Generation. It is a consensus algorithm that allows Waves to handle thousands of transactions per minute.
It was created to lower the latency and increase throughput, so that transaction confirmations occur in seconds instead of minutes.
The model selects several miners in advance to let them create a key block, which then is automatically loaded with microtransactions, without increasing the block size or block intervals.
The Waves team has included a unique functionality in the traditional PoS model, known as Leased Proof-of-Stake – LPoS. This will protect the network against attacks and improve network distribution.
Waves supports many projects in its wide ecosystem. We’ve listed a few of them below.
After the smart contract functionality was added to the Waves mainnet, developers started building dApps on the blockchain. As a result Waves Enterprise was created. It provided further consulting, deployment, and support services to developers and institutions.
Waves always stood out from the rest of the layer one blockchains due to its team reflexivity in providing frequent coding updates. What has been assisting for developers and startups to easily deploy dApps on the network.
As mentioned earlier Oracles are the programs that help in accessing external data on the blockchain. Gravity is a decentralized cross-chain and oracle network that was built by Waves to implement data from different external sources to the platform.
DeFo – Decentralized Forex was introduced by Waves, which includes DeFi tools combined with classic Forex markets. Neutrino provides tools for swapping stable assets via smart contracts.
Currently, Waves blockchain facilitates many currency-pegged digital assets such as European Union – EURN, Japan – JPYN, Russia – RUBN and five other stablecoins. Neutrino allows users to trade them in a decentralized way thereby establishing a decentralized forex platform.
Waves exchange is non-custodial and allows users to trade mainstream cryptocurrencies. The decentralized exchange charges a small fee per filled order and also support crypto staking.
Waves was founded in 2016, by a Ukranian theoretical physicist, Sasha Ivanov. He has experience as an advisor at BANKEX. The rest of the workforce of Waves Enterprise consists out of business analysts, systems architects, cryptographers, developers, testers, consultants, and other highly skilled blockchain experts.
In October 2021 they aim to have $10 billion in total-value-locked – TVL on the Waves platform. Currently they reached the cap of 2billion TVL. Ivanov also mentioned that there is a possibility of launching synthetic assets on Waves which allows them to lock even more value in their DeFi products.
Waves is the native currency of the Waves network. It is deemed necessary for creating custom tokens. When you want to participate in the network’s LPoS consensus mechanism, you need to stake Waves on the platform.
To become a full node token holder, you are required to stake a minimum of 1,000 Waves. However, users who do not hold the minimum amount can still participate in securing the network by leasing their tokens to the Waves nodes.
The Waves team understands the importance of on-chain lending in the current DeFi ecosystem. Therefore, they are building a lending protocol which will be complementary to on-chain assets swaps, effectively creating on-chain margin trading dynamics.
Sidechains will increase the flexibility for developers to experiment with Beta releases or software updates, before their release on the main chain. The approach of Waves will be based on a novel sidechain model and will be launched through the Waves network governance. Thereby supporting Waves Exchange.
Something that concerns us is that Waves has been partnering with banks and other legacy institutions, that could be replaced in the future by other decentralized blockchain projects. But this is also one of the reasons why Waves flourished like it did. It became a bridge for centralized institutions to access the decentralized technology.
The Waves 2.0 framework has a lot to reveal in 2022, which is expected to achieve “real breakthroughs in scalability.”
Waves is one of the blockchain projects that has achieved a plenitude of products during a five year period. It is one of a first layer blockchain that is still relevant to this day because of it’s innovative products.
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