Waves Introduces New Framework for Community-Based Ratings Organizations
The Waves platform has announced the upcoming launch of a new token as a part of its recently introduced Custom Application Token facility on the mainnet. The new token distribution will enable Waves to foster community engagement in the next nine months.
Called the Waves Community Token, it will be distributed after January 15, 2017. Initially, 20 percent of the Waves Community Tokens will be distributed across all existing Waves wallet addresses based on their average WAVES balance between 1st and 15th January 2017. The initial distribution will be followed by 8 similar distributions in tranches of 10 percent each time. In order to be able to receive the WCTs, Waves community members will need to be holding their balance in Waves local wallets. Any WAVES tokens on exchange platforms are not eligible for WCT distribution.
Waves Community Token is designed to be an alternative to Ethereum’s DAOs. However, Waves Community Tokens are marketed as having better security, reliability and can serve a number of purposes. A DAO like feature on Waves Community Token enables members to offer community-based ratings for new projects launched on Waves platform. Asset issuers on Waves platform will also be able to distribute a proportion of their crowdfunded tokens to the Waves Community Token and Waves community in return for various services.
Like other Waves Custom Application Token assets, Waves Community Tokens are freely transferable and tradable. Holders are eligible to receive a constant stream of asset rewards, giving the token a lifetime value. The Waves Community Tokens distribution timeline spread over a period of nine months also incentivises the community to keep WAVES tokens in their local wallets, away from exchanges by encouraging long-term holding.
The platform is said to offer straightforward functionality, which it hopes will influence companies seeking to launch their own crypto-tokens to choose Waves over other blockchain platforms. Businesses can use Waves to create tokens that represent ownership of any number of different items of real-world value, from fiat currency and stocks to vouchers redeemable for specific goods and services. Waves will use a decentralized voting mechanism for an accurate reflection of community sentiment about new projects without putting funds at direct risk.