As part of its rebranding initiative, WalletConnect has introduced Connect cryptocurrency, its native cryptocurrency.
In an effort to shift toward a decentralized paradigm, WalletConnect, which is well-known for its connectivity protocol for decentralized applications, has announced a significant rebranding and the launch of its native currency, Connect currency (WCT).
WalletConnect Inc., which has since changed its name to Reown, revealed in a blog post on September 16 that the token will have several uses, such as facilitating network governance, compensating users, and bolstering staking mechanisms. Reown:
WCT holders may propose, discuss, and decide upon the introduction of fees through governance mechanisms as a long-term economic model of the network. These would be used, for example, by projects to pay for network services like relay usage.”
Part of WalletConnect’s larger decentralization goal, which started in 2023 with an upgrade to version 2 of its protocol and the addition of many node operators, is renaming Reown and the launch of WCT. On Optimism’s OP mainnet, the Connect Token will be introduced.
Airdrops will receive 18.5% of the token’s first supply. On September 24, registration for these airdrops will commence, and more information will follow shortly.
With allocations of 7% for core development, 17.5% for prizes, 18.5% for airdrops, 18.5% for the team, 11.5% for early backers, and 27% for the WalletConnect Foundation, the initial supply of WCT is set at 1 billion tokens.
The tokenomics model currently does not include inflation mechanisms as the current version is “intended to focus on utilizing existing token allocations and fee structures to support network operations and incentivize participation,” Reown says.
With transferability features scheduled for a later time, WCT will begin its first release cycle in 2024. Token holders cannot move tokens between wallets until that time, although they can participate in network governance and staking.
The community will hold talks facilitated by the WalletConnect Foundation to decide when transferability will be enabled.
