Wrap Protocol is launched on the Ethereum (ETH) and Tezos (XTZ) networks

By April 27, 2021DApps
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Bender Labs has launched Wrap Protocol on the Tezos (XTZ) and Ethereum (ETH) networks.

As a decentralized bridge between Ethereum and Tezos, users can transfer Ethereum ERC20 and ERC721 tokens to the Tezos blockchain. Users wrap these tokens into FA2 tokens at Tezos, and their value is tied to the original tokens.

The tokens are compatible with most decentralized finance (DeFi) protocols on the Tezos blockchain, such as Quipuswap, Atomex, or Kolibri.

Ethereum bridge

Ethereum bridge

Wrapping time

At launch, the time it takes to wrap a token will be approximately one hour. The process to unwrap the token will take the same amount of time.

Once a user requests a wrapping or unwrapping transaction on the dApp, It will take an hour for the protocol to deliver the tokens to the user’s address.

Users can see their pending wrapping / unwrapping transaction in the Wrap dApp. The rates are 0.15%.

Tezos stablecoin eur

Tezos stablecoin eur

Earn $ WRAP

The issuance of the native $ WRAP tokens took place at the same time as the launch as FA2 wrapped ERC20 tokens using Wrap Protocol Wrap. The first batch of $ WRAP will be distributed one month after the launch of Wrap Protocol.

According to the whitepaper, 40% of the weekly $ WRAP tokens will be distributed to users. Then the signers receive another 50%. Finally, the group of developers will receive the last 10%. Over time, the $ WRAP will be distributed weekly to users and signers based on their activity one month before.

The weekly distributions of $ WRAP will follow an exponential decreasing curve, totaling 100 million coins.

Blockchain

Blockchain

Signatories quorum

As a decentralized protocol, Wrap relies on a strong federation of users and developers that is configured to ensure its stability. Consequently, this strong federation will be made up of the Quorum of signatories.

They are a group of entities that work together to ensure the stability of the binding between the wrapped tokens and their ERC20 counterparts. The founding signers are Bender Labs, MadFish, Bake N Rolls, Baking Bad, and Blockscale. The Quorum will operate with a governance of three out of five.

The post Wrap Protocol is launched on the Ethereum (ETH) networks and Tezos (XTZ) was first seen on BeInCrypto.

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