What is WAX (WAXP) and How Does It Work in 2024?

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WAX (WAXP) is a cryptocurrency that powers one of the largest decentralized application (dApp) blockchain platforms for trading digital and physical collectibles. But what exactly is WAXP used for, and how does the WAX blockchain work behind the scenes? Let’s break it down.

What is the purpose of WAX (WAXP)?

Wax WAXP coin

The WAX (WAXP) coin serves three main purposes on its native blockchain. First, it is used to pay transaction fees whenever NFTs, gaming assets, or other items are bought, sold, or traded on WAX marketplaces and dApps.

Second, it gives token holders voting power in important network decisions like which developer projects receive funding. And third, WAXP can be staked to earn rewards, more on that later.

In short, WAXP coin powers the entire WAX economy and ensures smooth operation of the blockchain. It serves the key roles of being a medium of exchange, governance token, and staking incentivization mechanism all in one.

How does WAX (WAXP) work?

Under the hood, the WAX blockchain uses a delegated proof-of-stake (DPoS) consensus mechanism. This allows it to validate transactions very quickly, settling them in just seconds. It also makes WAX massively more energy efficient than power-hungry proof-of-work chains like Bitcoin.

Network validators are elected by WAXP token holders through a continuous approval voting system. The top 21 validators at any given time are responsible for processing new blocks. This differs from traditional proof-of-stake where validation is random.

WAX’s DPoS model gives token owners direct influence over the network. They receive rewards for staking to their preferred validators, who in turn receive transaction fees for their work. This collaboration keeps the blockchain secure while distributing coins fairly.

The best part is that thanks to EXEcrypto‘s coverage, you can stay on top of all the latest WAX developments very easily without missing anything!

Does WAX (WAXP) have a future?

Wax WAXP token future

As one of the top blockchain protocols catering to gaming, metaverse and digital collectible applications, WAX appears well positioned for further growth. Its thriving ecosystem hosts over 30,000 DApps and transactions continue to rise daily.

Major entertainment brands like Topps, Funko, Atari and Capcom have already launched successful NFT collections on WAX. Its carbon neutral technology also gives it an edge as consumers and institutions demand more sustainable digital solutions.

The project also enjoys strong industry backing. Pantera Capital, HashKey and Fenbushi Capital are among the investors in WAX. As decentralized virtual worlds and interoperable gaming become more mainstream, look for WAX to ride this exciting wave of innovation in digital assets.

When WAX (WAXP) launched?

WAX was first introduced in 2015 as a platform called OPSkins, enabling players to securely sell in-game items for cash or Bitcoin. Its official mainnet with the WAXP token launched in December 2017 after a successful initial coin offering that raised $9.6 million.

The main goal was transitioning OPSkins to a fully decentralized blockchain-based virtual goods marketplace. Since then, WAX has evolved into a comprehensive ecosystem supporting thousands of community-driven games, dApps, gachas and more through its toolkit of blockchain services.

Is WAX (WAXP) a scam?

Wax waxp coin scam

Absolutely not. WAX is a legitimate and well-established blockchain project with a strong track record, sizable community and real-world brand partnerships. With years of operation and over $100 million in reported total sales volume, it would be factually incorrect to characterize WAX as a scam in any way.

Of course, investors should always do their own research on any new cryptocurrency. But major auditing firms have reviewed WAX, multiple exchanges list the coin, and prominent investment groups participated in funding rounds – all signs that point to WAX being a safe and genuine blockchain venture.

Is it safe to invest in WAX (WAXP)?

WAXP appears to be a relatively safe cryptocurrency to invest in based on several factors:

  • The project comes from the founders of OPSkins, a respected digital goods marketplace.
  • Major exchanges like Binance, KuCoin and Gate.io list the token, lending it credibility.
  • WAX has real partnerships with top companies like Funko, Atari and Lionsgate.
  • Daily transaction volume and active wallet user counts continue growing exponentially.
  • The DPoS consensus model makes 51% attacks very difficult.

Of course, cryptocurrency investing inherently carries risks. But by sticking to reputable exchanges, practicing sound security habits and only investing what you can afford to lose, WAXP satisfies the basic definitions of a ‘safe’ crypto investment compared to more speculative plays.

Is WAX (WAXP) worth it? WAXP Price 2024

Wax WAXP token price 2024

WAXP has delivered strong returns since launching in 2017. At the time of writing in late 2023, the token trades around $0.06. Technical analysis suggests WAXP may touch $0.20 – $0.30 in 2024 if broader market conditions remain favorable.

With new game integrations and NFT collections constantly fueling activity, WAX is minting millions of transactions daily. As one of the top networks for gaming blockchain use cases, WAXP retains long term growth potential – especially if it can onboard more mainstream titles.

For advanced traders, WAXP also represents an opportunity to profit from periodic volatility. But for most investors, WAXP qualifies as a solid long term hold given its promising ecosystem backing valuable virtual economies of the future. The project roadmap points to much more innovation ahead as well.

Where to buy WAX (WAXP)?

Some top exchanges traders use to purchase WAXP include Binance, KuCoin, Gate.io, OKX, and Bybit. US customers have fewer options due to regulatory restrictions but can check platforms like Upbit and Crypto.com.

For convenience, the official WAX Cloud Wallet lets users instantly buy WAXP with credit/debit cards too. Just deposit funds, select your coin and amount, then the wallet handles the swap automatically. Fees are reasonable and conversions happen in real-time.

How to sell WAX (WAXP)?

Wax waxp token sell

Selling WAXP follows a similar process:

  • Transfer your tokens from your non-custodial wallet like Atomic Wallet to an exchange that supports WAXP trading like Binance.
  • On the exchange, go to the WAXP/BTC, ETH or USDT market and input your sell order, specifying your preferred price and amount.
  • Once a buyer fulfills your ask price, your coins will be sold for the selected currency.
  • Withdraw those exchange funds to your local fiat bank account or stablecoin wallet as desired.
  • Some decentralized exchanges let you swap WAXP directly for other tokens too without an order book.

How to stake WAX (WAXP)?

WAX utilizes a delegated proof-of-stake model. This enables coin holders to delegate their tokens to block producers in exchange for rewards. To start staking WAXP:

  • Store WAXP in a non-custodial wallet like Atomic or Guarda.
  • Visit wax.bloks.io and select a block producer to delegate votes to.
  • Stake a minimum of 200 WAXP and click “Delegate” to confirm.
  • Fees are 0.025% of staked amount annually. Rewards paid in WAX based on producer performance.
  • Stakers share in newly minted coins and transaction fees proportional to stake amount.

It’s an easy way for holders to generate passive income from their WAX investment. Just be sure to research producers first.

How to mine WAX (WAXP)?

WAX uses a delegated proof-of-stake consensus protocol which is not mined in the traditional sense. There are no mining pools, ASICs or specialized hardware required.

The core mechanisms that secure the blockchain rely on stakeholders voting for block producers with their WAXP tokens.

Therefore, the only way to obtain new WAX is to purchase it from exchanges, earn it as staking rewards or acquire it through authorized faucets and promotions. Direct mining of WAXP is not possible or recommended.

WAX represents a promising long term opportunity for traders, investors and the gaming community. Its thriving ecosystem makes WAXP among the top cryptocurrencies to watch, especially as digital ownership evolves.

With renowned partners and real innovation, WAX coin continues advancing the future of virtual marketplaces and metaverses.

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