Energy Web Tokens
Last updated
Last updated
The Energy Web Token (EWT) is the native utility token to access services and orchestrate stakeholders within its blockchain system. In the context of Energy Web Chain, EWT compensates validators for processing transactions, and are used to pay for transactions.
Energy Web X leverages and complements the existing Energy Web Chain by introducing new technical capabilities that streamline the deployment and operation of Worker Node networks.
To maximize the security of every Energy Web solution using worker nodes, EWT will be required to interact with worker nodes and Energy Web X. Most notably, Energy Web Tokens will be required to:
Reward worker node networks: worker nodes are software packages that need to be run by individuals and/or businesses. To attract entities to run worker nodes, enterprises will need to include rewards, paid in EWT, that compensate worker node operators for their work.
Operate worker nodes: to become a trusted party to run worker nodes, individuals and/or businesses will be required to stake EWT. Staking requirements and reward schedules are mass customizable - enterprises launching worker node networks can configure different thresholds and award schedules at their discretion.
Validate Energy Web X: Energy Web X validators will need to stake a significant number of Energy Web Tokens in order to become validators on Energy Web X.
For clarity, instead of launching a new token with the Energy Web X blockchain, Energy Web X will be powered by the existing EWT. Users have the ability to “lift” Energy Web Tokens from the existing Energy Web Chain onto Energy Web X. Lifted Energy Web Tokens can then be used for the functions described above. With this mechanism in place, EWT holders will be able to “lower” Energy Web Tokens back to the main Energy Web Chain at their discretion. Over time, token holders will be able to lower EWT to other layer one blockchains (for example, main net Ethereum) making Energy Web solutions interoperable with any blockchain ecosystem.
Utility tokens like EWT are different from other digital assets in the blockchain sphere such as coins, non-fungible tokens, and stablecoins. To learn more about the distinctions between these assets, see this article,.