An introduction to Wanchain

Temujin Louie
Apr 23 · 5 min read

True DeFi is interoperable.

Please note: This article is meant as an introduction for newcomers and may be periodically updated as necessary.

What is Wanchain?

Wanchain is the world’s premiere decentralised blockchain interoperability solution. Our mission is to drive blockchain adoption through interoperability by building fully decentralised bridges that connect the world’s many siloed blockchain networks. This cross-chain infrastructure empowers developers to build truly decentralised cross-chain applications to power the future of DeFi.

Wanchain has been building its cross-chain infrastructure since 2017. In early 2021, it launched the world’s 1st decentralised BTC-ETH direct bridge. Wanchain also offers decentralised bridges connecting Bitcoin, Ethereum, Wanchain, EOSIO, Binance Smart Chain and XRP Ledger, with other chains such as Polkadot on the horizon.

What problem is Wanchain solving?

With the rapid rise of blockchain technology, there are now thousands of public and private blockchains deployed around the globe. However, these blockchains exist largely in isolation; unable to communicate or exchange information with one another. Wanchain is building decentralised bridges connecting these siloed blockchain networks to help blockchain reach its world-shaping potential.

How is Wanchain secured?

Wanchain’s PoS validator nodes reach consensus using a proprietary Proof of Stake consensus algorithm called Galaxy Consensus. Nodes need to stake WAN tokens before they can validate transactions on the network. For detailed information about the Galaxy Consensus, please read the whitepaper.

What blockchains does Wanchain support?

Wanchain has been building its cross-chain infrastructure since 2017. In early 2021, it launched the world’s 1st decentralised BTC-ETH direct bridge. Wanchain offers decentralised bridges connecting:

  • Bitcoin
  • Ethereum
  • Wanchain
  • EOS
  • Binance Smart Chain
  • XRP Ledger

All of Wanchain’s decentralised cross-chain bridges are supported by unified decentralised collateral pools, maintained by Wanchain’s Storeman Group.

What is the Storeman Group?

In addition to regular PoS validator nodes, Wanchain features Storeman validator nodes. Storeman validator nodes are responsible for performing and verifying cross-chain transactions. At any given time, there are 25 Storeman nodes. Together, they form the Storeman Group.

When a user initiates a cross-chain transaction, the Storeman Group works together to create a locked account that holds the user’s original asset. The Storeman Group then mints a new asset pegged 1:1 to the original asset on the destination chain.

No single Storeman node has access to this wallet address’ private keys. Each only has access to a small fragment of the private key. This is a security feature preventing malfeasance on behalf of any one Storeman node.

Storeman nodes must all stake WAN tokens as collateral. All of Wanchain’s different cross-chain bridges are supported by this unified decentralised collateral pool.

The Storeman Group is re-elected on a monthly cycle. Anyone can set up a Storeman validator node. More details on this process can be found in the setup guide.

How do decentralised cross-chain bridges work?

In the simplest of terms, when a user initiates a cross-chain transaction, the Storeman Group locks the original asset on the origin blockchain before minting a new token, pegged 1:1 to the original asset, on the destination chain.

For example, if a user wants to move their ETH to Wanchain, their ETH is first locked on Ethereum before a new token — let’s call it wanETH — is minted on Wanchain. The value of wanETH is always pegged 1:1 with ETH.

How can I initiate a cross-chain transaction?

There are two primary channels to initiate cross-chain transactions:

What makes Wanchain unique?

Not only is Wanchain’s blockchain interoperability solution truly decentralised, it is already live on the Mainnet and actively being used. As of the time of this writing, most-if-not-all other blockchain interoperability projects are either centralised, semi-centralised or still on Testnet.

Wanchain’s decentralised blockchain interoperability solution requires no custodial party to manage users’ funds. Unlike other cross-chain systems, Wanchain does not rely on a third-party platform to authenticate transactions. Wanchain employs multi-party computing and threshold secret-sharing technology. Truly decentralised cross-chain transactions are made possible thanks to Wanchain’s innovative Storeman Group.

What are WAN tokens?

Wanchain’s native utility token is called WAN. It has a max supply of 210,000,000 tokens. WAN was first released via token sale in October 2017 at a rate of USD 0.34 / WAN. WAN tokens enable several functions including regular transactions, cross-chain transaction, private transactions and smart contracts.

The primary exchanges trading WAN tokens include:

See a comprehensive list here.

Note: WAN is not an ERC-20 token, though it shares the same address format.

What can I do with WAN tokens?

WAN tokens can be used as stake for Wanchain’s PoS validator nodes to secure and run the Wanchain network. The estimated APY for this task is ~10%. Read the setup guide to learn more.

WAN tokens can also be used as collateral for Wanchain’s Storeman validator nodes. Storeman nodes perform and verify cross-chain transactions to ensure the smooth and secure transfer of value between different blockchains. The estimated APY for this is ~14%. Read the setup guide to learn more.

There are also a wide variety of applications that accept WAN tokens. For instance, WanSwap, a cross-chain DEX, allows liquidity mining using WAN. Another example is WanLend, a decentralised lending platform, allows users to stake WAN tokens as collateral. WAN tokens can also be used in ZooKeeper, a gamified yield farming platform with NFTs. A more comprehensive list of applications can be found below.

Finally, a small amount of WAN tokens (fewer than 0.0001 WAN) is needed to execute each transaction on Wanchain.

Where can I store WAN and other Wanchain assets?

Several wallets support WAN and other Wanchain assets.

What are some prominent DAPPs on Wanchain?

Other useful links

About Wanchain

True DeFi is interoperable — Wanchain is the world’s premiere decentralised blockchain interoperability solution. Our mission is to drive blockchain adoption through interoperability by building fully decentralised bridges that connect the world’s many siloed blockchain networks. This cross-chain infrastructure empowers developers to build truly decentralised cross-chain applications to power the future of DeFi.

Website | Documentation | Telegram| Twitter | Newsletter | Blockchain Explorer | Developer Portal

Wanchain

True Defi is interoperable

Wanchain

Our mission is to drive blockchain adoption through interoperability by building fully decentralised bridges that connect the world’s many siloed blockchain networks.

Temujin Louie

Written by

Director of Marketing @ Wanchain. Blockchain true believer… for better and for worse!

Wanchain

Our mission is to drive blockchain adoption through interoperability by building fully decentralised bridges that connect the world’s many siloed blockchain networks.

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