WAVE Whitepaper

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1. Index1. Introduction 4

1.1. Vision 41.2. Problem / Background 41.3. History 51.4. Terminology 6

2. Solution approach 83. The WAVE Platform 8

3.1. User 83.2. Wallet 93.3. Fees 93.4. Staking 9

3.4.1. What ist staking? 9

3.4.2. How does staking work? 9

3.4.3.Networkinflation 10

3.4.4. Cold staking 11

3.4.5. Staking WAVE 11

3.4.6. Halving 11

3.4.7. Staking Fees 12

4. WAVE Node Pool 124.1. WhatIsAWAVENodePool? 124.2. WhatDoesItTakeToRunaWAVENode? 13

5. WAVE Exchange 135.1. Whatisanexchange? 135.2. TradingWAVE 145.3. Fees 155.4. WhatisaDecentralizedExchange? 155.5. BenefitsoftheDEX 155.6. Additionalnotice 16

6. WAVE Token (WAE) 176.1. Distribution 17

6.1.1. Sale Allocation during ICO 17

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6.2. ERC-20 186.3. Fundsusage 18

7. Roadmap 198. Amendments 19

8.1. Fees 198.2. Referralprogram 19

9. Afterword 2010. Conclusion 2011. References 20

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1. Introduction1.1. Vision

WAVE is an ambitious project with the goal to truly impact and change the way crypto currency is used currently through its eco system and the many possibilities that are offered to use WAVE in real life and not just use it as another “speculative asset”.

1.2. Problem / BackgroundBy far the most purchases of cryptocurrency have been raw speculation; investors buying particular cryptos in the hope that they would dramatically appreciate in value. Without ever using the crypto currency and therefore without ever fulfilling the use case of most cryptos.„Crypto has value based on its usage to buy things; because of that value, most owners of crypto do not want to use it to buy things; therefore, crypto is not widely used to buy things and thus has no value other than related to relatively minimal usage.“In other words, the real value of a particular cryptocurrency is based on the mutual concepts of «acceptance» (how many merchants will take the crypto in exchange for goods or servic-es) and «usage» (how many owners are spending their crypto in exchange for goods or services). Whatever the rates of accept-ance, the problem is that because crypto owners expect their crypto to appreciate in value, they are holding it as an invest-ment and not using it. This is supported, among other things, by a study reported in Reuters. Thus, the paradox: Crypto investors buy and hold crypto because they want their crypto to appreciate in value, but unless they use their crypto the value will not go up. To the contrary, unless the crypto is used, the value of the crypto will keep falling, and inves-tors will start unloading their investment to avoid further losses.Over the last few years in the crypto industry, we have seen many dubious investment, wallet and coin offers come onto the mar-ket and disappear a little later with a lot of money from investors.

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Thus, the WAVE platform was founded and envisioned as an innovative solution to the current challenging market situation and therefore to offer investors a serious asset & wallet to invest, store and trust in.

1.3. History

October 2017

Market Screening and analyzation of the current

market situation

September 2018

WAVE Team Building

January 2019

WAVE starts development and in-house testing of the

ICO platform

May – September

WAVE is finalizing the last steps before the ICO

November 2019

WAVE Private sale

December 2019

WAVE Public sale start

February 2020

WAVE Finish of ICO and transition from WAVETo-

ken to WAVEPlatform

March 2020

Launch of the WAVE Platform and WAVE Exchange

The idea for the WAVE project was born towards the end of 2017 and the team that finally took charge of its implementation came together about a year later, in September 2018. Through our market analysis, we came to the decision to finally bring about a change in the market and to offer a functioning and scalable product, where the benefit of the customer is clearly in the spotlight. WAVE is an ERC-20 Token, built on the Ethereum blockchain and launched through an ICO on the 1st November 2019. What was first conceived as a trading solution using our own arbitrage algorithm was quickly revised, however. Even dur-ing the ICO phase, we realized that there would be problems in the long run with scalability and therefore decided not to burn the unsold tokens after the ICO, but to distribute them to the us-

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ers through staking until the total supply is reached.WAVE’s roadmap involves building and establishing an ecosys-tem around the WAVE Token to create and ensure a real usa-bility through multiple features such as WAE PAY, WAVE Wallet, WAVE App, WAVE Exchange, WAVE Merch, WAVE Market and many more.

1.4. Terminology

AssetIn WAVE’s documents, asset is the same as token.

BlockBlocks contain the digital records of transactions. A complete block consists of the magic number, block size, block header, transaction counter, and transaction data.

Block rewardBlock production rewards are sent to a sub-account (address/wallet).

CryptosShort-term wording for crypto currencies.

ERC-20 The popular cryptocurrency and blockchain system known as Ethereum is based on the use of tokens, which can be bought, sold, or traded.One of the most significant tokens is called ERC-20, which has emerged as the technical standard used for all smart contracts on the Ethereum blockchain for token implementation.

Hot walletHot wallet, also known as online wallet, allows user’s private key to be used online, thus it could be susceptible to potential vul-nerabilities or interception by malicious actors.

ICOInitial Coin Offering – the pre-sale of a coin/ token and funding phase of the project, before launching on the market.

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Node The definition of a node may vary significantly according to the context it is used. Usually, a node consists of a physical network device, but there are some specific cases where virtual nodes are used. Hereby we will solely look into the WAVE Node.

PoSProof of Stake is a proposed alternative to Proof of Work. Like proof of work, proof of stake attempts to provide consensus and doublespend prevention.

DPoSDelegated proof of stake is a consensus protocol, which pro-vides dependable verification and approval of transactions in a blockchain. Being an extension of the proof of stake protocol, DPoS allows blockchains to change network parameters, such as fee schedules, block intervals, transaction sizes, on the fly, without creating a hard fork, if the elected delegates vote for such a change.

ScalabilityScalability is a feature of the WAVE Platform. It is the capability of a system, network, or process to handle a growing amount of work or its potential to be enlarged to accommodate that growth.

Smart contract Smart contracts are applications that run on the Ethereum Virtu-al Machine. This is a decentralized “world computer” where the computing power is provided by all those Ethereum nodes. Any nodes providing computing power are paid for that resource in Ether tokens.

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2. Solution approachIn order to use WAVE not only as another speculative asset to hold and sell, the WAVE ecosystem offers its users many functions that can be used in real life and thus create real value behind WAVE.The user is able to use all this different features to either store his WAVE among other crypto currencies on the own WAVE wallet and even grow his funds through the built in staking function, use WAVE as a payment option through WAE PAY, trade WAVE against other cryp-to currencies on the own WAVE exchange, experience a new online shopping experience and spend WAVE in our online shopping portal or purchase items from the WAVE merchandise store.

3. The WAVE PlatformIn addition to emphasizing the most significant features of the plat-form, this chapter is dedicated to illustrating the advantages offered to each user.

3.1. UserEvery user has his own account which offers a detailed over-view of his finances and direct access to the WAVE Exchange & WAVE Wallet. Every user has the opportunity to purchase a mar-

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keting license for 49$ and will then be eligible to also participate in the WAVE referral program & therefore receive an upgraded dashboard with advanced features.

3.2. WalletEach account has its own WAVE & BTC Wallet, where you can easi-ly send & receive money, have a complete overview and tracking of every transaction and additionally have the possibility to transfer WAVE from user to user by simply entering the unique WAVE ID. Each WAVE wallet also has a built-in staking function and supports PoS.

3.3. FeesUsing the WAVE Wallet is completely free of charge. The cost for transfers between users is 0.01 WAVE.

3.4. Staking

3.4.1. What ist staking?Staking is the process of holding funds in a cryptocurrency wallet to support the operations of a blockchain network. Essentially, it consists of locking cryptocurrencies to re-ceive rewards. In most cases, the process relies on users participating in blockchain activities through a personal crypto wallet, such as the WAVE Wallet. The concept of staking is closely related to the Proof of Stake (PoS) mech-anism. It is used in many blockchains that are based on PoS or one of its many variants.

3.4.2. How does staking work?As mentioned above, staking is the process of holding funds to receive rewards, while contributing to the oper-ations of a blockchain. As such, staking is widely used on networks that adopt the Proof of Stake (PoS) consensus mechanism or one of its variants. Unlike Proof of Work (PoW) blockchains that rely on mining to verify and validate new blocks, PoS chains produce and validate new blocks through staking. This allows for blocks to be produced

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without relying on mining hardware (ASICs). So, instead of competing for the next block with heavy computation work, PoS validators are selected based on the number of coins they are committing to stake. Typically, users that stake larger amounts of coins have a higher chance of being chosen as the next block validator. While ASICs mining requires a significant investment in hardware, staking requires a direct investment (and com-mitment) in the cryptocurrency. Each PoS blockchain has its particular staking currency. The production of blocks via staking enables a higher degree of scalability. This is one of the reasons the Ethereum network will eventually mi-grate from PoW to PoS, in the Ethereum Casper upgrade.Some chains adopt the Delegated Proof of Staking (DPoS) model. It allows users to simply signal their support through other participants of the network. In other words, a trusted participant works on behalf of users during decision-mak-ing events.The delegated validators (nodes) are the ones that handle the major operations and overall governance of a blockchain network. They participate in the processes of reaching consensus and defining key governance pa-rameters.

3.4.3. Network inflationFor some networks, staking rewards are determined as a fixed percentage “inflation” rate. This encourages individu-als to utilize their coins (rather than only hold them). This process amortizes the operational costs of the network to all token holders.One benefit of this approach is that the network can dis-burse a fixed or controlled interest rate.Also, the information can be displayed to all network users who are deciding whether or not to stake. This could incen-tivize new stakers as it provides a predictable reward sched-ule rather than a probabilistic chance of receiving a block reward. With WAVE there is approximately 140.000.000

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WAVE Tokens, which will be distributed to stakers starting from 1.3.2020 until the total supply is reached.

3.4.4. Cold stakingCold staking refers to the process of staking on a crypto wallet that has no connection to the Internet, i.e., a hard-ware wallet. Networks that support cold staking allow us-ers to stake while securely holding their funds. However, if the stakeholder moves the coins out of the cold storage, the stakeholder will stop receiving rewards. This method is particularly useful in allowing large stakeholders in the net-work to ensure maximum protection of their funds while still supporting the network. >> The WAVE Platform plans to provide own hardware wal-lets to support this type of staking, planned to launch in Q3 2020.

3.4.5. Staking WAVEWhen staking WAVE, you have to block a minimum amount of 1000 WAVE on your wallet to activate and participate in staking. Depending on the amount of WAVE you have blocked for the staking, you will receive lower or higher re-wards on a daily basis. These rewards will be displayed in real time on the WAVE Platform. The total supply, that will be distributed through staking will be approximately 140.000.000 WAVE.

3.4.6. HalvingOur algorithm performs so-called block halvings as soon as a certain amount of coins is put into circulation. With each halving, the staking payout is halved. This way we can guarantee a long term and stable system for many years to come. There will be a total of 4 halvings over the next few years once a certain number of WAVE have been distributed.

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Halvings will take place as follows:1) 60.000.000 WAVE in circulation2) 90.000.000 WAVE in circulation3) 120.000.000 WAVE in circulation4) 150.000.000 WAVE in circulation

3.4.7. Staking FeesThere is a 25$ one-time setup fee being charged when enabling the staking for the first time. The fee will be ei-ther charged directly from the staked amount. Should you transfer funds out from the blocked wallet or dissolve the staking within the first 30 days of enabling, a fee of 10% will be charged in WAVE from the amount you removed from the blocked wallet.

4. WAVE Node Pool4.1. What Is A WAVE Node Pool?

A WAVE Pool is formed when several WAVE holders merge their resources to increase their chances of validating blocks and re-ceiving rewards. They combine their staking power and share the eventual block rewards proportionally to their individual con-tributions. Pools are most effective in networks where the barri-er to entry, whether technical or financial, is relatively high. Often, pools require significant setup, development, and mainte-nance. As such, WAVE charges a 50$ setup fee in WAVE directly to the host, who sets up the pool. It is completely free to the host whether to collect this fee afterwards from other members of the pool to equal parts or not. Other than that, pools may pro-vide different terms towards flexibility in regards to withdrawal times, unbinding times, and minimum balances on the network. The minimum time a pool has to be operating is 90 days. There is no option for any user to leave the pool earlier. Thus, users get encouraged to participate, leading to a greater network de-centralization.

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4.2. What Does It Take To Run a WAVE Node?Just like full nodes in a cryptocurrency, a WAVE Node can be run by anyone. However, there is an entry barrier in place to ensure that the system doesn’t get malicious. The entry barrier is what needs to be commited or collateralize in form of WAVE to run a WAVE Node Pool. The minimum amount required to start a WAVE Node Pool is 150.000 WAVE. Users can get together into pools of MAXIMUM 8 people to accumulate the required min-imum amount of 150.000 WAVE to create a pool together. By doing that, users are strengthening the network and therefore will be rewarded higher than normal stakers. As well, it is an op-portunity for small WAVE holders to increase their earnings by using a community supporting investment vehicle.

150.000WAVE

5. WAVE Exchange5.1. What is an exchange?

A digital currency exchange can be a brick-and-mortar business or a strictly online business. As a brick-and-mor-tar business, it exchanges traditional payment methods

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and digital currencies. As an online business, it exchang-es electronically transferred money and digital currencies. The WAVE exchange can send cryptocurrency to a user’s personal cryptocurrency wallet.

5.2. Trading WAVE

>> With the WAVE Exchange you have the opportunity to trade BTC against WAVE and vice versa. After the market introduc-tion phase, further trading pairs will be available. The big target exchange wise, is the listing on major crypto currency exchang-es and after the development of an own DEX (decentralized ex-change).

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5.3. FeesThe spread fee for trading will be around 0.05% per trade.

5.4. What is a Decentralized Exchange?A decentralized exchange is an exchange market that does not rely on a third-party service to hold the customer’s funds. Instead, trades occur directly between users (peer-to-peer) through an automated process. Such a system can be established by cre-ating proxy tokens (cryptoassets that represent a certain fiat or cryptocurrency) or assets (that can represent shares in a com-pany for example) or through a decentralized multi-signature escrow system, among other solutions.This system contrasts with the centralized model in which users deposit their funds and the exchange issues a Token that can be freely traded on the platform. When a user asks to withdraw his funds, these are converted back into the cryptocurrency they represent and sent to their owner. WAVE is planning to launch an own trading token to simply the whole trading process.

5.5. Benefits of the DEXOne of the main benefits to using a decentralized exchange over a centralized one is the “trustless” nature. Customers are not re-quired to trust the security or honesty of the exchange since the funds are held by them in your every users own wallet and not by a third party.

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Another advantage to the decentralized model is the privacy it provides. Users are not required to disclose their personal de-tails to anyone, except if the exchange method involves bank transfers, in which case your identity is revealed only to the per-son that is selling or buying from you. Furthermore, the hosting of decentralized exchanges is distributed throughout the nodes involved - meaning that there is no risk of server downtime.

CENTRALIZED

EXCHANGE CONTROLS FUNDS

NOT ANONYMOUSHACKS & SERVER DOWNTIME

USER CONTROLSFUNDSANONYMOUS

NO HACKS & SERVER DOWNTIME

DECENTRALIZED

5.6. Additional noticeNot every single feature described in the white paper will be fully available at the very beginning of the platform release. Functions will be added to the main platform as soon as they are ready for public usage. The WAVE platform will be updated constantly to serve the best possible experience at any time.

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6. WAVE Token (WAE)6.1. Distribution

A total of 175 million WAVE Tokens (WAE) will be distributed. The token is developed on the basis of Ethereum. The minimum compatibility with token standards is ERC-20 with the option of expansion.

Tokens have been and are distributed as follows:

36.5 Mio WAVE sold in our ICO

20 Mio WAVE for team 118.5 Mio WAVE

distributed through staking

6.1.1. Sale Allocation during ICOFrom November 2019 – February 2020, users had the op-portunity to purchase WAVE during three sales stages of our ICO for a price of 0.10$ – 0.20$ per WAVE. The mini-mum amount to participate was 500 WAVE.

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6.2. ERC-20Tokens, such as the WAVE Token, issued on the Ethereum blockchain follow a standard known as ERC-20. The standard describes the core functions of all Ethereum-based tokens. As such, these digital assets are often referred to as ERC-20 tokens, and they represent a great portion of the existing cryptocurren-cies. Many blockchain companies and startups deployed smart contracts in order to issue their digital tokens on the Ethereum network. After the issuance, the majority of these companies distributed their ERC-20 tokens through Initial Coin Offering (ICO) events. In most cases, the use of smart contracts enabled the exchange of funds, and distribution of tokens, in a trustless and efficient way. ERC-20 is the standard for now, in the future an own mainnet could be a possible expansion.

6.3. Funds usage35% of all raised funds are directly deposited in our internal stock exchange as liquidity to be able to handle sufficient trading vol-ume right from the start.30% of all collected funds will be used for the development of the new platform, the creation of the own internal exchange (WAVE Exchange) and the construction of new marketing materials & campaigns to sell WAVE to new potential customers.15% is stored as reserves for possible legal amendments or the acquisition of potential licenses.15% shall be kept as a back-up to respond to any unforeseen challenge.5% is paid to the development team.

35%

30%5%

15%15%

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7. Roadmap

November 2019

WAVE Private sale

Dezember 2019

WAVE Public sale start

February 2019

WAVE Finish of ICO and transition from WAVE

Token to WAVE Platform

March 2019

Launch of the WAVE Plat-form and WAVE Exchange

Q2 2019

Launch of desktop wallets

Q3 2020

Launch of WAE PAY and WAVE APP

Q4 2020

Launch of WAVE Market

Q1 2021

Public Exchange Listing

Q3 2021

Launch of Decent-ralized Exchange

8. Amendments8.1. Fees

We would like to point out at this point that all fees and models mentioned so far are to be regarded as such - models. The final structure of the fees and costs can only be determined in the course of time. We therefore reserve the right to adjust the fee structure. These adjustments will be communicated as early as possible.

8.2. Referral programWe would like to point out that all communicated commissions and earnings from our referral program are at no point guaran-teed and solely depend on market situations. Should the referral program at any time no longer be profitable or for other reasons no longer feasible, we reserve the right to fundamentally change the referral program or to discontinue it completely.

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9. AfterwordAn epilogue from our side: We are aware that our vision has the potential to change the current usage behavior of crypto curren-cies in everyday life and to herald a new era in the field of digital payments. We are working hard to make this vision a reality. Nevertheless, as a start-up, we are not immune to possible changes. We cannot predict events, such as changes in legis-lation or financial and technical specifications to be introduced soon. We do our best to implement everything as described in this document. However, we reserve the right to make certain adjustments if necessary. Thispossible adjustments will always be in the interest of the Com-munity, the platform and current jurisdiction. We thank you for your understanding.

10. ConclusionWAVE is a scalable concept that can be used perfectly in every-day life as a means of payment through fast transactions and, thanks to the WAVE Ecosystem and it’s constant further devel-opment, finds a multitude of application areas for its users.

11. Referenceshttps://en.bitcoin.it/wiki/Contract

https://github.com/ethereum/wiki/wiki/White-Paper

https://en.bitcoin.it/wiki/Staking

https://www.forbes.com/crypto-blockchain

https://www.reuters.com/news/technology