What Is WazirX (WRX)?
WazirX acts as a bridge in solving the global fiat-cryptocurrency gap for the world with its WazirX peer-to-peer solution. The introduction of WazirX came when it was analyzed that only 0.6% of the world’s population can use the 44 million crypto wallets. The restriction to participate in the cryptocurrency revolution is the difficulty of traditional money to cryptocurrency conversion.
WazirX was initially launched for Indians. “Wazir” is another name for the queen in chess. The queen is the most vital piece, as it can play any move. WazirX is the powerful queen piece of the cryptocurrency ecosystem that offers transparent communication, world-class UX, and robust trading software.
Soon after the launch of WazirX, the Indian central bank imposed a ban on banks from dealing with cryptocurrency exchanges. This turned out to be a significant setback for the Indian cryptocurrency market, as many exchanges closed.
Hereafter, WazirX came up with a solution by launching the first auto-matching P2P engine in India. WazirX P2P has become the go-to method in India to deposit and withdraw INR. According to the whitepaper of WazirX, the platform offers the features of low fees, no custody of traditional money, instant and auto-matching engine, and 24/7 customer service.
It is worth noting that WazirX has been acquired by Binance. Binance’s vision and WazirX’s mission are the same, i.e., to increase the freedom of funds globally and eventually improve lives around the world. This acquisition turns out to be a big step toward cryptocurrency and involves everyone in the blockchain revolution.
Moreover, this partnership allows Indian users on Binance to deposit and withdraw INR directly from within the app. The idea of WazirX is to revolutionize the P2P segment the way Binance has revolutionized the crypto-to-crypto segment.
WRX is the native token of WazirX and is based on the Binance blockchain. Token holders are rewarded with various benefits on the trading exchange, such as a 50% trading fee discount. This discount is provided to those who pay fees using WRX tokens. This program runs for years as follows:
Year 1: 50% trading fee discount
Year 2: 25% trading fee discount
Year 3: 12.5% trading fee discount
Year 4: 6.25% trading fee discount
WazirX P2P doesn’t work like traditional P2P, which is tricky for beginners. It follows the below process:
As soon as the buyer places a USDT buy order, an instant auto-match is made with a seller.
Payment is made to the seller’s bank account directly.
The traders from both ends need to confirm the receiving and sending of payment.
The escrowed USDT is transferred to the buyer’s wallet by WazirX (escrow is a legal arrangement wherein a third party holds funds or assets temporarily until a particular condition has been met.)
Hence, through P2P 2.0 of WazirX, users find it easy to deposit and withdraw traditional currency. The P2P system is designed to be very simple, similar to regular trading. Multiple P2P trade matches occur every minute. Also, within every 10 minutes, 90% of P2P trades are completed. Every month, P2P is growing at a rate of over 9.5%.
As stated in the whitepaper, the platform is cheaper, faster, simpler, and widely used in India for conversion between traditional money and cryptocurrency. Moreover, with its success in India, WaxirX plans to spread its services globally to solve this conversion problem in many countries.
History of WazirX (WRX)
WazirX was launched in March 2018. The total supply of WRX tokens is 1 billion. The team of WazirX contains novice cryptocurrency enthusiasts to pro traders.
The founder of WazirX is Nischal Shetty. He founded his first company, Crowdfire, after an all-night coding session. Sameer Mhatre is the cofounder and CTO of WazirX. He is a full-stack developer and designer. Siddharth Menon is the COO and cofounder. He has 18 years of experience building and leading innovative businesses.
How Are New WRX Tokens Created?
Traders from any country can mine, unlock, and earn WRX tokens by performing P2P trades. Token airdrop is applicable when multiple companies bring consensus to provide tokens to WazirX users in return for listing on WazirX. Users can list their tokens on WazirX by paying a listing fee using WRX tokens.
The platform burns WRX coins every quarter based on the trading volume on the WazirX crypto-to-crypto platform. The plan is to destroy a total of 10% WRX out of its 1 billion maximum supply. Cryptocurrency burning is when a fraction of tokens are sent to a wallet with no private key. This means the tokens are lost forever. Tokens are usually burned to reduce availability and increase market value.
