Waves

Waves is a blockchain platform that allows users to create and transact custom/colored coins using the native WAVES token. These include both fiat and crypto tokens, which can be transferred on the native blockchain and traded on an in-client decentralized exchange. Transaction fees can be paid in either WAVES or custom tokens, if full nodes choose to accept them. Custom coins are implemented as plugins to the base software. This improves upon systems such as NXT, where each addition necessitated a mandatory hard fork to update client software for each new coin. Bitcoin, Ethereum, zCash, Litecoin, US Dollar, and Euro tokens are supported on the WAVES platform. It emphasizes usability, with lite client browser and mobile wallet applications available. The ICO raised 30,094 BTC ($16m) in April and May 2016, and the network launched in November 2016.

Overview

Notable Features

Two-tier Node Architecture

There are two types of nodes within the Waves architecture, full nodes and lightweight nodes. Lightweight nodes are Javascript-based browser plugins, and do not download the entire blockchain or participate in transaction validation. Users can transact, use the internal exchange, create new tokens, and lease WAVES to full nodes through the lightweight client. Full nodes are based on Scorex, a modular blockchain framework, and are responsible for transaction validation.

Leased Proof of Stake (LPoS)

Waves uses a modification of traditional PoS, Leased PoS, where token holders lease their balances to full nodes. Block creation/state consensus is completed by full nodes, and rewards are given in proportion to the number of tokens leased to the validating node. Token holders retain full custody during this process. Full nodes must locally own or be leased a total of 10,000 WAVES. Due to this balance requirement, transaction validation is somewhat centralized; as of late 2017, ~70% of all leased WAVES went to just four full nodes. Full nodes receive the Miners Reward Token (MRT) and transaction fees, denominated in either WAVES or custom tokens, as validation rewards.

Decentralized Internal Exchange

The Waves platform has a decentralized exchange integrated with the lite client, where users can trade each combination of available tokens. Due to insufficient transaction volume, Waves completes the order matching process in a centralized manner as of April 2017. Settlement remains on-chain, and users retain full custodianship of their tokens. Order fees are paid in the native WAVES token.

Waves-NG

The blockchain consensus process is Waves-NG, based on the proposed Bitcoin-NG protocol. In Waves-NG, a new ‘block leader’ is chosen for each block interval in advance, and validates transactions prospectively as they are posted to the network. This is in contrast to protocols in which transactions are validated retrospectively, such as Bitcoin. Waves-NG improves scalability on the network.

 

Token Details

There are three tokens associated with the Waves network:

WAVES is the primary network token, with access and block creation rights. It can be used to create new custom coins and to pay transaction fees for existing coins on the network. WAVES also determines block creation in the LPoS model. There is a fixed supply of 100 million WAVES, with 85 million distributed in the crowdsale and 15 million retained for the team, early investors, and bounties.

The Miners Reward Token (MRT) is an access and governance token accumulated to miners as a reward for block validation. It gives holders the right to vote on network proposals relevant to miners, such as block time, and incentivizes miners to operate nodes. Additionally, nodes can elect to accept MRT as transaction fees on the platform. A total of 10 million MRT will be released, with rewards decreasing every 50,000 blocks.

The Waves Community Token (WCT) is a governance token for crowdfunding campaigns (ICOs) launched on the Waves platform. Projects can exchange a portion of their native tokens with WCT holders for a variety of services, such as concept and token economics evaluation.  Beginning in January 2017, WCT was released monthly to WAVES holders proportional to their local wallet balance. This distribution of 10 million WCT was completed in September 2017.

Governance

The project was founded in 2016 by Sasha Ivanov, a Russian physicist, founder of the instant cryptocurrency exchange Coinomat, and NXT community member. The project is associated with Waves Platform Ltd, a private limited company incorporated in England and Wales. The company retains some degree of centralized control, including the ability to de-list custom coins from the exchange. The project’s operational base appears to be Russia. Development of the project is open-source, and client code is available on Github. The MRT and WCT ostensibly provide governance mechanisms to the Waves community, although this aspect does not yet appear to have been utilized.


ICOs

Waves Token Sale (ICO)

WAVES is a crypto-platform for asset/custom token issuance, transfer, and trading on blockchain. Inspired by NXT cryptocurrency WAVES is a new platform, being coded from scratch and aiming to become for colored coins what ETH is becoming for scripting.

| Token Sale