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Cryptocurrencies and their underlying technology, blockchain, are almost a decade old at this point. However, the concept of crypto assets has divided the financial and mainstream audiences unlike no other emerging technology of the past. Looking to set this record straight is a new blockchain project called the World Open Network (WON).
In essence, WON aims to encourage social change by incentivizing the public with monetary rewards. The platform’s native currency, simply called Ŵ, will be awarded to users that perform ‘positive activities’ such as accepting the currency as a payment method for products and services and developing third-party applications that use the platform’s blockchain.
The network is built up of three primary components: the World Open Blockchain (WOB), the World Open Platform (WOP) and the World Open Marketplace (WOM). The blockchain will handle the creation of third-party applications, the exchange will facilitate the transfer of wealth in and out of the Ŵ currency and the marketplace will allow users to buy and sell items through decentralized applications (dApps). Third party developers can also choose to create their own custom cryptocurrencies on top of the WOB. These Developer Cryptos (DCs) can be exchanged for WON by users at any time.
Bitcoin, and the majority of other cryptocurrencies on the market today, employ the proof of work consensus mechanism. These blockchain networks require blocks to be mined with ever-increasing amounts of computational power, which translates to significantly increased electricity consumption. In recent times, the consequence of cryptocurrency mining has become more and more apparent, especially when considered at the global scale. Digiconomist’s Energy Index, for instance, reports that Bitcoin mining activity alone consumes over 50 TWh of energy every year.
With humanity at the brink of climate change and an energy crisis, the WON team believes that cryptocurrencies should be designed in a way that makes mining obsolete. As a result, WON uses the Proof of Authority consensus algorithm that does not encourage undue wastage of resources. This approach also enables the WON blockchain to scale and handle more transactions per second than current digital currencies.
Given that WON aims to move away from the ‘wild west’ classification of the cryptocurrency market, Ŵ transactions on WOB will be not only publicly auditable, but also individually traceable to a particular wallet. This will allow all registered individuals to safely transact with applications, developers and other users.
The team believes that the anonymity offered by certain digital currencies has hurt the entire market’s reputation, leading people to believe that illicit activities are the primary use case for crypto assets. WON, on the other hand, will comply with all relevant Know-Your-Customer (KYC) and Anti-Money Laundering (AML) laws. New users will have to complete these checks in order to gain access to the platform and exchange.
Another mainstream criticism of modern day cryptocurrencies and blockchain platforms is their highly speculative nature. While there is no disputing that certain digital currencies provide immediate utility to users, many believe that the vast majority of new projects are overvalued for what they currently offer. Since WON shares this belief, the team will ensure that Ŵ and Developer Cryptos are valued appropriately. In other terms, the value of these assets will be directly tied to the usage of the particular application and service. This will also motivate developers to create higher quality applications that see real-world usage.
Last modified (UTC): September 12, 2019 12:47 AM