The WAVES Token Is Ported Into The Ethereum Blockchain: How Will This Affect Both Ecosystems?
The collaboration between Waves and Ethereum is picking up speed as the launch of the ERC20 gateway begins a new stage in the development of both ecosystems. What opportunities are now available for WAVES token holders?
Launch of the ERC20 gateway on the Ethereum network
Cross-chain communication between Waves and Ethereum protocols is viewed by both teams as a step towards scaling their infrastructure. The first steps in this direction have already been successfully taken: earlier, the Neutrino USD (USDN) tokens, a stablecoin pegged to the dollar, and the Neutrino System Base Token (NSBT) were transferred to the Ethereum network. A new stage in the development of internetworking was the current launch of the ERC20 gateway for porting the WAVES token to the Ethereum blockchain.
Waves.tech is positioned as an ecosystem of innovative technologies, services and tools for developers. Waves network members can create their tokens based on simplified smart contract programming. Users can use scripts to manage tokens, so making changes to the project remains flexible.
What “goodies” do network members get?
With the launch of the ERC20 gateway, Waves functions are now available to Ethereum members. Users can move a token between blockchains in the Waves. Exchange client interface. The system operates on an equivalent exchange: 1 ERC20 wave is equal to 1 WAVES wave. Also, users can convert Ethereum tokens to WAVES and vice versa. The withdrawal fee is 2 WAVES.
Sasha Ivanov, the founder of the Waves network, positively assesses the prospects for interaction between the two blockchains in the future. He noted:
The launch of the ERC20 gateway provides significant benefits for WAVES owners as they now gain access to the DeFi ecosystem, including applications, exchanges, protocols. In particular, the Waves pool is already available on the Uniswap exchange.
The Waves team also clarified in their blog that the increase in trading activity on the Ethereum network played an important role in the decision to collaborate with Ethereum. In 2020, more than $13.7 million was transferred to Ethereum. Waves see the next stage in the development of cross-chain interconnection between blockchains in the launch of the Gravity protocol. The implementation of this decision is scheduled for 2021.