Recently, BitCoin.com announced the Wormhole Cash protocol. The wormhole cache protocol allows developers to publish tokens in a bit coin cache block chain, hosted on BitCoin.com.
The wormhole cache protocol may also be a counter attack to the ERC-20, which reigns in the current cryptographic token. The cryptographic market can be broadly classified into two types: coins and tokens. A coin is a cipher with its own block chain. Bitcoin or etherium is a typical example. Tokens, on the other hand, are specific assets or utilities based on existing block chains.
Tokens are an important element in ICO. We publish a white paper on DApp and conduct funding rounds to collect the money for the cryptography and then distribute our tokens. Investors make investments and receive tokens accordingly. Most of these tokens are built with etherium networks. According to one survey, these tokens account for about 83% of the total token market.
The most popular protocol for creating tokens in the ether block chain is the ERC-20. For this reason, the ERC-20 is called the king of Dap. Ethereum Request for Comments (ERC) is a token standard issued on Ethernet block-chain networks. The ERC-20 was released by Fabian Vogelsteller, a developer of adapters for the Etherium project, through its feather hub in November 2015. ERC-20 defines a generic list of rules to be followed by ETH tokens. This allows the developer to program new tokens that work in the etheric ecosystem.
The ERC-20 has gained popularity due to its user-friendly principles, simplified structure, and advanced programming skills. Basically, you can create a new token by copying and pasting the template from the feather hub, determining the token amount, name, and symbol, and determining how much ETH to inject.
At present, more than 110,000 tokens based on the ERC-20 are said to be. EOS and TRON are the most famous examples. The market cap of these tokens is 5th and 12th respectively.
The US Securities and Exchange Commission said that “it is not classified as securities”, but ERC-20 tokens may also be securities in some markets depending on how they are sold.
The ERC-20 also played an important role in the ICO popularity in 2017. With the spread of ERC-20, ICO attempts in the cryptographic market have risen sharply. Until the spread of the ERC-20, there was no unified programming standard in the industry. The token-related software has always had to be upgraded because it has its own way and has problems with exchanges, wallets, applications and compatibility.
Of course, despite these advantages, ERC-20 has been pointed out over time. A typical batchOverflow bug. Usually, when a user inadvertently sends an ERC-20 token to a smart contract address, the funds are in a contract-bound form. Some of these exchanges blocked the use of etherium-based tokens in April because of a bug that malicious hackers created such huge amounts of tokens by using these loopholes to deposit them into their general address, which is vulnerable to price manipulation. For this reason, a protocol that challenges to replace the ERC-20 emerges. Examples are ERC-223, ERC-721 and ERC-948.
Bitcoin cache has fallen from the hard-fork, the existing block chain, in the bit coin of August 2017. The goal was to set as a direct currency. The Wormhole Cache Protocol is a smart contract protocol upgrade for the bit coin cache block chain created by the Chinese development team led by Jiazhi Jiang. The white paper was announced in July. The development began with Bitmain, a cryptographic mining hardware company. Bitmain CEO Ujihan is also well known as Bitcoin Cache supporter. Just as ERC-20 allows ether networks, users can basically implement smart contract functionality without changing the rules of bit coin cache block chain agreement through the wormhole cache protocol. To this end, the wormhole cache protocol adopts off-return (OP_Return) as the command code. Off-return allows the data to be stored in a block by increasing the data transfer size within the bit coin cache protocol to 220 bytes.
The wormhole cache protocol supports a basic token called Wormhole Cache WCH. The WCH is required for smart contracts in the bit coin cache block chain and is also needed when creating new tokens or listing ICO tokens.
Of course, it is not known whether the wormhole cache protocol will outperform the ERC-20 token. There is a possibility that the same or different disadvantages as ERC-20 may be revealed. ERC-777, an ether-based protocol that says it will replace the existing ERC-20, is also coming soon.