The world of cryptocurrencies is really amazing. The other day I was researching NFT giveaways on Twitter and I found a very interesting project called WAX that calls itself the king of NFTs, but is it really?
NFTs became very famous with the CryptoKitties fever in 2017, where users spent more than $1M on collectible virtual cats on the Ethereum network. In 2019, we also had one of my favorite blockchain games: God’s Unchained where more than millions too were spent on virtual collectible cards.
What are NFTs?
If you fell into that parachute article and don’t know what NFT is, don’t worry, I’ll try to explain: NFT is the acronym for Non-Fungible Token, but it can also be affectionately nicknamed Nifty. Non-Fungible tokens differ from fungible in practically one thing: their uniqueness.
For example, if I want to exchange 1 Litecoin for another Litecoin, that’s fine, as they are the same and can be exchanged for a price. NFTs, on the other hand, are like baseball or Pokémon cards, although they may have items that appear to be the same, they differ in terms of metadata and serial number or other characteristics that make them unique and can be traded at different prices.
NFTs can be applied in cases such as crypto art, crypto-collectibles, games, tickets, or virtual tickets and maybe even tokenizing a property or actions. Finally, the number of segments that can be explored with NFTs is very diverse. Well, without further ado, let’s talk about the WAX project.
What is WAX?
WAX is the acronym for Worldwide Asset Exchange. This consists of a cryptocurrency project idealized in 2017, by William Quigley and Jonathan Yantis, which currently uses the DPOS consensus algorithm and is based on the EOSIO protocol, to provide an efficient structure for creating NFTs, aim digital goods marketplaces, mainly.
In general, DPOS or Delegated Proof of Stake is a variation of the proof of stake, developed by Daniel Larimer, where you elect / delegate votes in delegated nodes that will be the validators of the blocks. These nodes will redistribute the rewards to those who have delegated votes to them in proportion to the number of coins allocated for it. There may be sub-variations or different requirements using this DPOS system as a basis.
WAXP tokens are the tokens of the WAX blockchain network. With them, you can buy NFTs in marketplaces (primary or secondary). Also, you can stake and delegate votes to nodes (WAX Guilds / Block Producers), winning staking rewards.
Actions carried out on the WAX blockchain involve the consumption, depending on the action, of 3 main resources: RAM, NET, and CPU. Both developers and dapps users may need to use these resources. Without further ado, I’ll try to explain what each feature is for:
NET — It is consumed temporarily when performing actions or transactions. It refers to the capacity to carry out transfers.
CPU — Refers to the processing time to perform transactions in microseconds. Depending on how busy the network is, this can set your priority on transactions and interfere with their processing time. It is a great mechanism to prevent transaction spam, denial of service attacks, and network overload.
RAM —It mainly refers to the interaction with Dapps on the WAX network. This uses RAM to store information about your applications. Depending on how the Dapp was developed, this may pay for the RAM itself or charge the Dapp user during interactions with the contract.
For more information, see this article.
Recently, WAX announced that it would be adding a Defi-related tokenomic model, expanding its ecosystem and its token’s usefulness beyond the WAX blockchain. This model consists of using the Ethereum blockchain as well, combining the best of both.
The economic model revolves around the new WAXE and WAXG tokens on the Ethereum network.
WAXE: It is obtained by burning WAXP in your wallet, with a ratio of 1000: 1. For every 1000 waxp burned, you get 1 waxe. You can stake WAXE in the economic activity pool and collect WAXG and ETH.
WAXG: It is the WAX governance token. Can be used to vote on governance system proposals or burned to get ETH as a reward from the PiggyBank pool.
For more accurate and technical information check this article.
You don’t have to worry about paying, reserving resources in an account if you don’t want a personalized address. Using the Wax Cloud Wallet, you get a free wax address with enough resources to perform some actions on the network. It is very simple and easy to use, I recommend it for those just starting. Remembering that this is a custodial wallet.
To create a non-custodial wallet and you have total control of your funds, I recommend Anchor or Scatter, where you pay yourself by reserving resources for a wallet, obtaining a personalized address.
In the Ethereum network, ERC721 and ERC1155 standards are common for the creation of NFTs. Here in blockchains based on the EOSIO protocol, we have popular standards like AtomicAssets and SimpleAssets.
In a way, the process of creating NFTs is intuitive using each of the creation tools provided by the developers of each standard. Personally, I prefer AtomicAssets in terms of ease of creating NFTs.
For more information on AtomicAssets click here.
For more information on SimpleAssets click here.
As for fungible tokens we have exchanges to exchange our cryptocurrencies for other cryptocurrencies. In the world of nfts, we have marketplaces that are like NFT exchanges. It is where you buy or sell NFTs or exchange for others.
In the wax network, we have some marketplaces or secondary markets. For both simpleAssets and atomic assets formats. Here is a list of them:
WAX really has the potential to be the king of NFTs, it just needs to be better known. And in fact, the marketing team is working hard to make this happen, partnering with other famous projects. It presents many advantages to the competition mainly about the costs of operation when interacting with contracts, transacting, and creating NFTs. Anyway, it is worth knowing this project. I will leave the important links below. Based on the information provided in this article, do your research on the project and decide for yourself whether to invest something or not.