WAX Token Overview – Decentralized Gaming Exchange
WAX aims to become a platform that enables anyone to create their own virtual marketplace for digital assets. It will also allow current and future marketplaces to interact easily with each other through the use of their WAX token. This will increase liquidity of digital assets as a whole and make it easier for people to extract value from and between games.
The WAX (Worldwide Asset eXchange) platform is being developed by OPSkins. OPSkins is the number one digital marketplace in the world, with over 100 million annual transactions. WAX will enable anyone to create a fully working digital item marketplace with zero investment in security infrastructure and payment processing.
Key Features and Advantages of WAX
Protects against price volatility – Items sold on the platform may use WAX pegged asset contracts. Price fluctuations are very unpredictable with regards to crypto and having WAX pegged asset contracts offer some security to users.
Security against scams – Gamers can freely buy and sell their digital goods instantly and safely with smart contracts
High liquidity across WAX platform – Even though the virtual items are from different games, they can be traded using WAX tokens or a WAX pegged asset contract.
Lower costs – Lower costs and easier settlement methods means that both sellers and buyers can earn more from each transaction.
Huge established market – Comes with a built-in market base in OPSkins, with over 2 million in weekly transactions
The WAX Protocol is a decentralized blockchain solution that focuses on the transfer and exchange of virtual goods and services. To meet the high volume of transactions demanded of these markets, a Delegated Proof of Stake consensus algorithm, originally created by BitShares, was selected. Users can stake their WAX tokens to elect confirming nodes called “Guilds”.
Guilds are the confirming nodes of the WAX Platform. While the WAX Platform will have 64 Guild positions upon release, this will be increased as new games and servers are released. Apart from validating the blockchain, Guilds will have additional responsibilities to fulfill. For a Guild to be elected, they must first submit a proposal to the network that states the game they will service, the percentage of fees they will share to pledged users, and how they will monitor Transfer Agents.
Unlike the bots currently used by OPSkins, the WAX platform will use Transfer Agents. They are entrusted to facilitate the transfer of virtual goods between buyer and seller.
1. Communicate with seller and buyer to arrange pick-up and delivery of item
2. Take control of the virtual asset from the seller
3. Verify the authenticity of the virtual asset
4. Digitally sign the Settlement Execution Contract that they have received the virtual asset
5. Deliver the virtual asset to the buyer
6. Digitally sign the Settlement Execution Contract that they have delivered the virtual asset
They must also put up a bond of WAX Tokens, of which they cannot exceed 25% of total value of currently assigned Settlement Execution Contracts. For settlement execution services, they are rewarded a percentage of the fee with WAX Tokens.
WAX Token (WAX) and ICO information
The WAX token (WAX) will have 185 million total supply. All WAX tokens will be generated in a seed block. 64,750,000 WAX tokens are allocated for the entire token sale which is only 35% of the total supply.
Final Thoughts on WAX
This is another gaming blockchain proposal along the lines of Gameflip and Enjin. However, the huge advantage of WAX is that it has the backing of OPSkins. This brings a certain pedigree and experience to the project. The built-in user base is also an enormous benefit. Based on this point alone makes it a solid proposal.
However there are certain things to take note of. The WAX platform will not rely on direct API integration with game publishers. This could be a good or bad thing. The benefit is that it allows the broadest possible audience of gamers through decentralized marketplaces. The drawback is that they will be at the mercy of game developers and what was allowed one day might change the next.
Another thing to look at is the low percentage of tokens available in the token sale. 35% of the total supply does not seem like a whole lot and this is not even taking into account the 30 million reserved for the institutional pre-sale.
WAX Token Review
WAX website https://www.waxtoken.com/