The storage and unlocking of tokens belonging to the Waves Enterprise team will be regulated through smart contracts.
At the end of 2019, the Waves Enterprise team decided to reduce WEST tokens’ volume to 400 million. We wrote about this earlier in this article. The Waves Enterprise community is still discussing such a significant amount of tokens owned by early investors and the team. The community is mainly interested in the conditions for unlocking and releasing these tokens to the market. And this is not surprising, since we are talking about a total volume of 360 million tokens, 200 million of which belong to early investors, and 160 million to the Waves Enterprise team. We understand that the release of such token volumes into free circulation can dramatically affect the situation, but there is no reason to worry, and you will soon see this.
Decentralized approach: storage on a smart contract
When it comes to the turnover of significant amounts of system tokens, everything should be as transparent and reliable as possible. As you know, we are developing technologies designed to ensure reliability and transparency. Therefore, we decided to organize the storage of tokens using a smart contract, which will specify the conditions for releasing tokens to the market. No one will be able to violate these conditions.
WEST tokens belonging to the team will be stored on the smart contract to ensure maximum transparency. This smart contract will regulate the schedule and volume of token unlocking. We will also distribute the tokens in parts and determine the unlocking purpose for each of them. Ten million tokens will be reserved for partner projects, and the remaining 150 million will be locked until 2022. This way, the community will better understand the team’s plans and ensure that a significant amount of tokens will not suddenly appear on the market. Details about this smart contract, as well as its address, will be published in October 2020.
This approach to storing tokens will provide the necessary transparency and reliability that suits the Waves Enterprise community.
Early investors also have no short-term plans to put tokens in free circulation. We are currently negotiating with investors to store their tokens similarly — on a smart contract that regulates the token unlocking schedule. We will inform you about the results of these negotiations later, so stay tuned.