By early 2017, the Waves platform had only a functioning network and a wallet in its portfolio of working products. And in early 2018, when saying "Waves," it is most appropriate to use the word "ecosystem." Waves strives to create a closed system through which businesses will be able to create and exchange coins in one place, attract financing, promote goods, and receive community support. At the same time, the platform will be equally useful to institutional and retail investors, as well as small and large businesses.
It is interesting to follow the Waves development process, firstly, because this project is being implemented in a completely new sector, which most of us did not even know about a year ago. Secondly, it is a Russian project, that is, the titanic work being done on changing this world is taking place right beside us.
Let us figure out what blocks the Waves ecosystem consists of.
The Waves Blockchain
Thanks to the implementation of the new Waves NG protocol, Waves can handle up to 100 transactions per second. In comparison, the Bitcoin blockchain does not process more than 10 transactions in the same timeframe. High throughput combined with low transaction fees will allow Waves to be used as a basis for many decentralized applications.
Waves Wallet and Decentralized Exchange
To store, receive, and send cryptocurrencies, one needs a cryptocurrency wallet. The Waves platform wallet has three significant advantages. First, it has a convenient and intuitive interface; secondly, it has a fiat gateway, which allows buying cryptocurrencies hassle-free; and thirdly, it is accessed by a private key that guarantees the safety of stored funds. In addition, apart from coins, the Waves wallet allows for making transactions with Bitcoin, Ethereum, Litecoin, ZCash as well as with USD and EUR. The team also plans to add the opportunity of trading tokens of the Ethereum ERC20 standard.
The wallet does also offer the DEX decentralized exchange. "Decentralized" means that users trade coins without a central node that could be hacked and used to withdraw funds. Thanks to the Waves NG technology, the exchange rate does not differ from the speed of centralized exchanges.
Creating Tokens and Conducting ICOs
Anyone can create their own tokens on the Waves platform within a matter of minutes. But this is not enough for the promotion of a project, nor for building the confidence of investors in the reliability of such a project. Waves comprehensively approached this issue. On the one hand, they, in cooperation with Deloitte, have created the BetterTokens Association which will develop recommendations and standards for tokens and tokenization, as well as due diligence to protect investors from fraudulent projects.
On the other hand, the team launched the Waves Lab, an incubator that helps projects prepare for the ICO stage, and in some cases also provides funding. To support the projects, the team has allocated an investment of 1 million Waves tokens. The first Waves Lab participants were the Simdaq project, which raised $5 million in just one day, and MyTrackNet, which raised $600,000 at the pre-ICO stage.
After the launch of the token, it is essential to create a secondary market in order to allow existing holders to withdraw from their share, and so that new investors can easily invest in the project. To do this, the company created the LiquidWave platform, which ensures the liquidity of tokens created on the basis of the Waves platform.
Waves has launched the Tokenomica platform for large issuers of tokens, which can be called the first investment bank on blockchain. The project is being developed jointly with Singaporean regulators and the Baker & McKenzie law firm. The idea of Tokenomica is to provide a single platform for large ICO projects, where participants can get everything they need in one place, from legal advice and technical support to marketing services.
It would be unfair to speak of Waves and not mention its creator Alexander Ivanov. Alexander was engaged in the development of software for payment systems and neural networks for forecasting financial markets. His first blockchain product was a service for instant exchange of cryptocurrencies, called Coinomat.com, and the venture fund Cryptoasset.fund. In January, Alexander gave us an interview, in which he told us why Waves is cool.
The rapid growth of the project is confirmed by figures. The market capitalization of Waves in December exceeded $1.5 billion, and the cost of the Waves token from the beginning of 2017 has jumped by 3,000% to $7.6.
In 2018, Waves promises not to dwell on the successes already achieved. Their plans include the introduction of smart contracts, multi-signature wallets, a decentralized voting system, the Atomic Swap technology, anonymous transactions, as well as supporting the development of the Waves community and helping everyone wishing to acquire knowledge about blockchain through its Blockchain Institute.