WaykiChain Co-Founder & CEO Gao Hang: Exploration and Practice of Public Chain Landing
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Exploring the landing of the public chain, WaykiChain starts from the market demand
Looking back at the development of the public chain, it can be divided into three stages. The first stage is the embryonic period from 2014 to 2017, the second stage is the exploration period from 2018 to 2019, and the third stage is the landing period from this year onwards. . As one of the many public chains, WaykiChain has experienced many explorations and attempts during 2018-2019.
In 2018, the concept of the public chain was very popular, and many people regarded it as the first year of the development of the blockchain public chain. In May 2018, WaykiChain held a strategy conference in Shenzhen. The WaykiChain mainnet and the first quiz product were launched together. In the same year, a series of public chains such as Yuzu EOS, Ontology ONT, and IOST were launched. In fact, people's pursuit of the blockchain industry at that time was not because of its implementation and value, but more about the concept and future imagination.
WaykiChain initially wanted to open up the public chain ecology with quiz as an entry point, because we believed that the entire quiz and blockchain had a natural connection point, and the characteristics of blockchain such as fairness, justice, openness, and transparency could just solve the problems existing in the quiz industry. Black-box operations, financial security and other issues.
However, when we discussed technology iteration and product development solutions, we found that the market did not particularly pay for the solutions, and the incremental value they could bring was not enough to cover the cost of people learning and understanding the blockchain. For traditional users, the barriers to understanding the blockchain, understanding what is a smart contract, and understanding how to purchase digital assets are very high.
After that, we found that the value of DAPP products is also less than the learning cost plus the original value of the original product. Around the end of 2018, we tried the DAPP of the game and found that the features brought by the blockchain game are a pseudo-need for users, rather than a rigid need.
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Commercial application transformation, take the lead in deploying DeFi
(1) Why choose decentralized finance DeFi?
At the beginning of 2019, WaykiChain took the lead in deploying decentralized financial DeFi in the domestic market. The decision was made at that time mainly due to three considerations.
First, what kind of needs are rigid needs, and what kind of needs can lead people from the traditional world to the decentralized world? At that time, people in the blockchain field included some believers and programmers who had the idea of changing the world. Of course, most of them were investors who were interested in the strong money-making effect of the blockchain industry. No matter what type of people they are, earning money and borrowing money have been people’s needs since ancient times, and the characteristics of blockchain such as cost reduction and high efficiency can help people solve this need.
Second, in all financial activities, the system will generate certain profits. When people borrow money to pay the system interest, this part of the interest is the profit of the entire system, making the blockchain change from a zero-sum game in the secondary market of "you die or I live" to a win-win solution for everyone.
Third, regardless of whether it is a quiz or a DAPP, if you want the blockchain to connect a wider range of people, you need to have your own stablecoin on the entire public chain, and the best stablecoin solution is to generate it in the form of mortgage lending.
(2) What DeFi products does WaykiChain have?
On October 21, 2019, the first DeFi product, the decentralized mortgage lending system Wayki-CDP, was launched. What problems can this product solve? When you hold certain digital assets such as BTC, ETH or WICC, and you need short-term cash flow but don’t want to sell them, you can mortgage the digital assets to lend out stablecoins. This part of stable currency can be used for investment or daily expenses, which can solve the problem of user capital liquidity.
So far, Wayki-CDP has been in operation for one year, and everything is normal and stable. September this year. The amount of WICC pledged reached 46 million, worth about 11 million U.S. dollars, and the stable currency WUSD was loaned out about 2.7 million U.S. dollars. What are these numbers? The market value of WaykiChain is less than one-thousandth of that of Ethereum, but it ranks in the top five of Ethereum's lending protocols. It is not easy to achieve this business volume.
Now the question is, how to solve the stablecoin WUSD circulation scenario? If a stablecoin does not have enough circulation scenarios, it will face problems such as lack of liquidity or even no preservation of value. Currently, we are cooperating with Huatong Securities. Huatong Securities is a licensed brokerage firm that helps users make new transactions in Hong Kong stocks and trade in Hong Kong stocks. It accepts the stable currency WUSD as a deposit method. In addition, WaykiChain has reached strategic cooperation with Atlas Mimarlik, a well-known Turkish construction company, and Vintage Boutique Hotel Alacati, a global hotel chain, and WUSD has become one of their important payment channels. However, for the public chain ecology, these application scenarios are far from enough.
As we all know, 90% of the transaction volume in traditional finance comes from derivatives, and the development of DeFi also needs to introduce derivatives to expand the transaction volume. At the beginning of this year, we started to deploy derivatives, and launched the decentralized synthetic asset protocol Wayki-X in September. What problems does this protocol solve?
At the beginning of this year, crude oil plummeted and U.S. stocks melted down. It is estimated that everyone wants to participate in it, and wants to grab some value and a share of the violent turmoil in the global financial market. However, there is no path to participate, and the threshold is very high for ordinary investors. However, Wayki-X allows everyone to invest in various asset targets around the world with low threshold and almost zero loss, allowing users to profit from value fluctuations without holding the original assets.
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Coordinated development of technology, community and strategic investment, deepening WaykiChain ecology
In addition to the layout of the business model, it is also necessary to build a good public chain infrastructure. In fact, we have always attached great importance to technology investment. On July 20 this year, WaykiChain 3.0 was officially launched. This version introduces some very exciting features.
The TPS of the public chain has gradually increased from 1100 in the initial version 1.0 to 3300, and now the public chain 3.0 has reached 4500+. TPS of 4500+ can meet 99% of financial needs, and WaykiChain is relatively leading in this regard.
WaykiChain originally used the lightweight and compact LuaVM, but now it has introduced a more powerful WASM virtual machine. The synthetic asset protocol Wayki-X was developed using WASM. Now, WaykiChain supports the development of LuaVM+WASM dual virtual machines.
Realize cross-chain functions, and have made many innovations in consensus mechanism, underlying account, CDP, DEX, etc.
In addition to the continuous iterative update of technology, WaykiChain has also achieved varying degrees of development in terms of community and strategic investment. In 2018, 99% of WaykiChain’s communities were domestic users. However, at the end of 2019, WaykiChain’s overseas community has made significant progress. For example, the number of Twitter followers reached 14,500, the number of active Telegram groups reached 10,000, and 30% of WGRT token holders came from overseas, including Japan, South Korea, Turkey, Vietnam and other regions.
In the past two years, we have invested and incubated Huatong Securities, Top Finance and Beenews. Huatong Securities is a licensed securities firm in Hong Kong that accepts deposits and withdrawals of the digital currency USDT or WUSD, and currently manages assets exceeding 1 billion. Gyro Finance is a new financial information service information platform for the blockchain industry. At present, the number of financial columns exceeds 9,000, the number of registered users exceeds 2 million, and the average daily activity is 200,000. Beenews is a leading domestic traffic media platform. The core team is from BAT, with 2.6 million registered users and nearly 7 million content. At present, the business expansion and profitability of these three companies are very good.
WaykiChain has made a lot of explorations and attempts in the past three years. We have stepped on pitfalls, suffered losses, and gone through some detours. However, we are also lucky to have grasped a path with high certainty, that is, decentralized finance. (DeFi), in the future, we will continue to explore and innovate along this road, constantly improve products to attract more users, provide a more secure and stable public chain, and further develop overseas communities.
