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Waves is an all-encompassing gateway blockchain protocol that is pioneering advanced technologies and developers of tomorrow. It leverages its practical and powerful protocol to offer developer-friendly infrastructure as an experimental basis for innovation. Waves is a seasoned blockchain organization that has recently launched the decentralized forex.
The initial version of the new decentralized forex will include six currencies apart from the US Dollar which will be pegged to their fiat currencies. The newly launched concept of decentralized forex is a path-breaking concept that is meant to disrupt the traditional forex markets.
Source: Twitter
The attempts at constructing a cross-over product combining the popularity of Decentralized exchanges and Forex trading will be the catch here. The digital foreign exchange currency trading will happen on its hybrid platform. It will be goaded by stablecoins that will be built by home-grown Neutrino protocol. Each asset is pinned to its fiat counterpart and all will be backed by USDN stablecoin.
As per the official announcement, the first assets that are set for trading are EURN (Euro), JPYN (Japanese Yen), CNYN (Chinese Yuan), RUBN (Russian Ruble), UAHN (Ukrainian Hryvnia), and NGNN (Nigerian Naira). A few days ago on September 25th, the users voted to generate all of the virtual currencies including the Nigerian Naira. The currency was added because the currency is stated to have great potential as per its twitter account.
The new launch of the decentralized forex comes without any official prior announcement but the development of the DeFo has been in course for some time now. On January 28th, 2020, the platform went on to launch the USDN token, a US dollar-pegged token on its neutrino protocol. It also went on to add NSBT – the Neutrino system Base token that has the innate ability on its system itself. Its value shows the backing ratio of assets in the system and posits a picture of the amount of USDN in circulation as against the amount in reserves.
NSBT is a governance token that could be used by Wave users especially when voting for currencies for Decentralized forex. The founder of Waves, Sasha Ivanov, has been hinting about the launch of DeFo, assumed to be floated in the week after September 27th.
For easy user experience especially that they are accustomed to trading forex in a conventional manner, Waves keeps up the pace by ensuring fair market prices. It functions with the help of an algorithm to maintain currency tokens. It also warrants a secure system for oracles to keep the integrity of prices. As of now, the commission will be 0.2% of Forex traders. A proportion of the money will go to token stakers, with the rewards going up to 20% APY. Users will be able to trade assets from different blockchains over the Waves network. It will support benchmark systems like BTC, LTC, ETH, and XMR and also will allow the users the liberty to create their own tokens for the price of one Waves.