Waltonchain is a blockchain-based project that combines blockchain technology with the Internet of Things. The main focus is to create a management system for supply chains. Radio Frequency Identification or RFID will be the primary technology used in the system. The project is named in honour of RFID technology founder Charlie Walton. RFID technology is used to track products during each step of production and distribution. This data is then stored on the blockchain.
You can buy and trade Waltonchain (WTC) using the Binance exchange.
The Waltonchain Ecosystem
Waltonchain introduces the Value Internet of Things or VIoT concept to describe the combination of RFID chips with blockchain technology. Waltonchain is the parent chain in the Walton ecosystem. It allows users to create and deploy sub chains with their own tokens. WTC is the primary cryptocurrency in the Walton ecosystem. The network uses its own consensus algorithm called Waltonchain Proof of Contribution.
The Value Internet of Things
The Internet of Things refers to exchanging information and communication between physical devices connected to the internet. Waltonchain developers state in the white paper that interactions in current IoT models can occur only between devices on the same trusted network. This means that all physical devices must be connected to the same IoT service provider. Thus centralization of IoT does not allow autonomous cooperation and effective transactions due to uncertainties in the trust relationships of stakeholders. Thus, Waltonchain introduces the Value Internet of Things concept where an IoT network is hosted on the blockchain. This allows VIoT to provide decentralized access to the blockchain via devices using RFID technology. Since the blockchain is open-source and every transaction is recorded, this minimizes trust issues and allows for safer transactions.
It was patented in 1983 by Charles Walton. RFID technology uses electromagnetic fields to give physical objects a digital identity. It accomplishes this with the use of small chips attached to the objects. RFID chips operate similarly to barcodes except that they do not need to be within sight of the RFID reader to be identified. The VIoT requires hardware consisting of RFID chips and readers, where the chips are used to connect the product to the blockchain. The RFID readers act as nodes on the blockchain. The software utilized by VIoT is the Waltonchain. A scan of the RFID chip on the product provides all its information. This information includes the product details, its location history and the personnel who have handled it. Benefits of VIoT in logistics include improved security, accurate tracking, anti-counterfeiting through RFID identification, decentralization and reduced labour costs.
Waltonchain and Sub Chains
Waltonchain is the name of the parent or primary chain in the Walton ecosystem. Its primary functions are tracking WTC transactions, managing side chains and executing smart contracts. Users can create sub-chains and include their own tokens. They can also implement a different consensus algorithm than the parent chain. The sub chain feature allows each business on the ecosystem to customize their own blockchain as per their requirements. This will also improve performance on the entire network. As the activities of the side chain will not affect the parent chain, the entire network will work more efficiently.
Waltonchain token (WTC)
The Walton ecosystem is run by Waltonchain token (WTC). It is an ERC20 token and can be stored in any wallet that supported ERC20 tokens. This has changed since Waltonchain has moved off of the Ethereum network and onto its own blockchain. It has issued its own wallets. One hundred million WTC were issued with the genesis block and no more will be created. The current total supply is seventy million and the rest thirty million will be mined continuously over the years. Waltonchain has six primary functions. These are issuing sub-chains, dividend interest, credit and mortgage system, distributed asset exchange, distributed voting and governance system and decentralized exchange. WTC is also used to facilitate the exchange of information between sub-chains and reward nodes for maintaining the network. Transactions on the Waltonchain network require an additional byte fee to be paid. The accounting node sets a minimum cost and the transacting node may set a maximum. The transaction is only written to the blockchain after both the conditions are fulfilled. WTCs are used to pay the byte fees. The accounting node performs the required block calculations.
Waltonchain Proof of Contribution
Waltonchain Proof of Contribution or WPoC has three components Proof of Work, Proof of Stake and Proof of Labor. The whitepaper states, “PoW and PoS are used on the Waltonchain parent chain and both ensure that parent chain blocks are unique and secure. PoW provides reliable data protection through computing power; still, it does not prevent the risk of 51 percent attacks and also lacks the features of environmental protection and energy-saving. Therefore, to reach the balance we use PoS, as it reduces wasting of calculation resources and the risk of 51% attacks. Through the interaction of PoW and PoS algorithms, our parent chain can solve the trust issues of data verification, storage and circulation in economic activities within the ecosystem.”
PoL is the new consensus mechanism developed by Waltonchain for data transmission and token exchange between parent and child chains. Waltonchain aims to realize efficient multi-chain connections and data fusion by maintaining proper cross-chain transmission without affecting data circulation.
Application and Working of Waltonchain
The first phase of the Waltonchain project involves applying a blockchain based version of RFID technology to the clothing industry. During manufacturing, a unique RFID is generated for every product and is recorded by child nodes. Each child node is connected to a master node and is equipped with an RFID reader. Every master node communicates with other master nodes on the internet. This creates a production block to record this information. Child nodes are utilized during storage of products. They provide warehouse inspection and storage location. A warehouse block is created with this information which connects to the production block. Logistics nodes are utilized in a similar manner to record the status of the product during its transportation. This creates a logistics block. Once the product has reached a vendor, the vendor records its final status and also customer information. The vendor store is considered to be a master node and is responsible for recording the transaction on the blockchain.
The developers of Waltonchain believe that the clothing industry will benefit greatly from their technology. Problems such as products being out of stock, bad product specifications and staff troubles will be solved more efficiently. Managers will be able to generate reports in real time which will ensure that production is moving according to plan. This will reduce wastage and related costs. The customers will also benefit as they will be able to trace the origin of the products they are purchasing. Additionally, the RFID tags will allow them to verify the authenticity of a product.
Phase Two, Three and Four
Phase two of the project will involve mass production of the RFID chips for implementation in the retail and logistics industry. Customers will be able to manage and trace products throughout the supply chain via the smart credit system. The developers intend to cover the complete logistic process on the supply chain, from warehouse to the customer. Phase three will focus on achieving traceable customization of smart packaging of the product during manufacturing. The goal here is to eliminate counterfeiting completely. The final phase will be upgrading the hardware and software of the Waltonchain ecosystem. Waltonchain plans to improve its business ecology further with a global super master node recruitment program.
Benefits of Waltonchain and VIoT
The merging of IoT and blockchain can be used for creating an authentic, trustworthy and a completely transparent business ecosystem. Further use of machine learning and artificial intelligence will allow for the creation of a complete supply chain. This chain will include production, stores, sales, logistics and after sales service completely and efficiently.
Image provided by Waltonchain.
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