What is Wanchain?
Wanchain intends to create a new distributed financial infrastructure using cross-chain smart contracts. Wanchcain is a fork of Ethereum so it retains many of the same properties of Ethereum. In fact, no code change is necessary to launch Ethereum Dapps on the Wan network. A key difference, however, is that Wanchain is the first blockchain to utilize Monero’s ring signatures to achieve private smart contracts. According to their website, they believe that the digital economy will soon become ‘the economy’. In order for businesses to truly feel comfortable transacting in this new digital economy, a certain degree of privacy is required. This is why Wanchcain’s private smart contracts are an important development and why Wanchcain is considered one of the frontrunners in the race for blockchain interoperability.
In short, Wanchain is a universal cross-chain protocol and distributed ledger that records cross chain and intra-chain transactions.
The problem is that digital assets today are isolated on their own respective blockchains. This is a similar problem to the early days of the intranet. In order for a decentralized digital economy to emerge, these blockchains must be able to communicate and transfer value in a safe and private way. Right now, most blockchains interact with centralized exchanges, which in many ways defeats the purpose of cryptocurrency (cutting out centralized third parties).
Wanchain intends to connect these blockchains and to be the value bridge between them. In this interview Dustin Byington (president of Wanchcain) compares various blockchains to separate Islands. He claims that Wanchcain is going to be the bridge that connects those blockchains by bringing digital assets on the Wan network. This would enable decentralized exchange services and banking applications to be easy developed on top of the Wan network.
Wanchain was founded by Jack Lu who is a cofounder of Factom. Jack also founded Wanglutech, which brings Blockchain technology to a great range of applications. Wanchain has a large team with a great deal of technical expertise which you can view here. The team includes Ying Zhang, a senior developer of Ethereum.
Since Wanchain is a fork of Etheruem, it is likely that the network has to deal with many of the same scaling issues that Etheruem has. Wanchain is depending on other networks to solve scalability issues which could become problematic if Ethereum can’t solve their scaling issues.
Point of Wanchain Token
According to the white paper, “Wancoin is the native coin of Wanchcain. Both cross and intra chain transactions consume a certain amount of Wancoin. Wancoin is also used in security deposits for the cross-chain verification nodes.”
The market cap size of the cryptocurrency that solves interoperability issues will be huge. Wanchcain has the potential to be the first cryptocurrency to do that. However, there are too many variables surrounding scalability to be sure that they will. If Ethereum can solve their scalability solutions, Wanchcain will be better positioned to achieve their vision. This project has a great team and is focused on a very important niche in the development of blockchain technology.