What is Waltonchain?
Last Updated: 1st November 2018
Waltonchain is a project that combines blockchain technology with Radio-frequency IDentification (RFID) technology to improve supply chain management. Waltonchain also aims to integrate blockchain technology and the Internet of Things (IoT) to produce a decentralized ecosystem of interconnectivity which Waltonchain refers to as the Value Internet of Things (VIoT).
RFID Technology & Internet of Things
Supply chain management is currently faced with certain limitations, for example, it is often very difficult to verify the authenticity of products as they progress along their supply chains. This can result in customers obtaining counterfeited goods, of which the price paid by the customer is not reflected in the quality and authenticity of the product. Waltonchain aims to solve this problem by utilizing RFID technology. This technology allows unique RFID tags to be included in goods such as clothing. With RFID tags, products can be tracked as they progress along their supply chain, with tracking and all other pieces of information relating to the product being logged onto Waltonchain. Because products can be tracked using RFID technology, it allows manufacturers and consumers to verify the authenticity of any tagged product.
Waltonchain also intends to leverage the decentralized nature of blockchain technology and apply it to an IoT ecosystem. In the current state of IoT systems, the value and information exchange between IoT devices are normally carried out under a centralized domain. Therefore, current IoT systems do not currently embody the principles of a trustless and decentralized environment that underpins the cryptocurrency and blockchain ecosystem. Waltonchain aspires to solve this by hosting IoT systems on the blockchain, producing what Waltonchain refers to as VIoT. By establishing IoT networks on a blockchain, IoT devices that are connected to the blockchain can exchange value and information in a transparent, and trustless nature.
Walton Parent Chain
The Waltonchain architecture includes the operation of a parent chain, known as Waltonchain, and numerous other sub-chains. The parent chain, has numerous functionalities in order to facilitate the operation of the ecosystem. These functionalities include: Waltoncoin transaction management, sub-chain management, smart contract execution, distributed asset exchange, and distributed voting and governance systems.
Waltoncoin is the native asset that is utilized on Waltonchain. Waltoncoin is the token that is circulated, and used as a means of payment within the Walton ecosystem. The use cases, and therefore value of Waltoncoin, are described as follows:
- Can be used as a currency.
- Can be used as a store of value.
- Can be used as a unit of measure for credit of the IoT.
The Walton parent chain is also vital in ensuring the proper management of sub-chains in the Walton ecosystem. The parent chain allows an individual to create and customize their own sub-chains. Customizable features include allowing developers to develop their own unique tokens that are native to their own sub-chain.
Smart Contract Execution
The Waltonchain architecture is also supported by programmable smart contracts that enables developers to build a wide range of custom applications. With Waltonchain smart contracts, when a transaction is made to a smart contract address, the smart contract will be executed. This executory procedure uses data from the receiving transaction, data stored in the smart contract account, and data from the current block status as input, which allows smart contract execution to take place.
Distributed Asset Exchange
The Walton parent chain also allows for the exchange of sub-chain token assets, with the Walton parent chain functioning as a decentralized exchange to facilitate this. Waltoncoin also functions as an intermediary currency in order to enable token exchange between various sub-chains in the ecosystem.
Distributed Voting and Governance System
The Waltonchain whitepaper also refers to the Walton parent chain serving as a platform for secure and anonymous voting as part of its governance mechanism.
Also included in the architecture are sub-chains; Walton sub-chains support custom features such as:
- Sub-chain native token transactions.
- Sub-chain token and parent token transactions.
- Cross sub-chain token transactions.
The process underlying a cross token transaction is as follows:
When Bob initiates a transaction request, this transaction request contains information such as the type of transaction (buy or sell), local token type, target token type, transaction price, and the number of transaction tokens. The Waltonchain protocol will then match Bob’s transaction request to a corresponding buyer or seller in the ecosystem.
The Waltonchain architecture makes use of a novel consensus mechanism known as Proof-of-Stake & Trust (PoST). Waltonchain innovates on the traditional proof-of-stake (PoS) model (Explanation on PoS can be found here.) and integrates a node reputation based system into the consensus mechanism. PoST provides for adjustable difficulty for each node, to ensure that integrity in the ecosystem is rewarded. Waltonchain also gives sub-chain developers the option to choose their own consensus mechanism, for example, sub-chains can strictly just have PoS as a consensus mechanism, and not PoST.
The Future of Waltonchain
Waltonchain, by use of its RFID technology, has introduced a novel way with which blockchain can solve not only the inefficiencies found with supply chain management, but also IoT. Waltonchain promises a lot in successfully integrating blockchain solutions to these problems, it will be very interesting to see if the project can deliver on those promises.