Answers to frequently asked questions about Archway.
What is Archway?
Archway is an incentivized smart contract chain for the Cosmos ecosystem that allows developers to deploy high-performance dapps and get rewarded for the value they contribute to the network.
When developers build and launch impactful dapps that generate usage on Archway, they can earn a proportional share of network fees and rewards.
This shared earning model enables developers to potentially access recurring rewards and participate in the upside of the underlying protocol.
Along with a more inclusive rewards model, Archway’s technical design is optimized for a seamless developer experience.
The protocol provides a full WebAssembly (Wasm) implementation for cross-language support, a Web3-compatible API, and native bridges that connect to other networks for cross-chain communication and asset transfers.
How does the Archway reward system work and how are they shared amongst participants?
Archway offers 3 types of rewards and each one is shared differently:
1) Gas Rebates - What makes Archway unique to other networks is that gas fees are shared between dapp developers and validators. At the launch, these fees are split evenly at 50% but can be adjusted over time through the governance of the network.
2) Inflation - Archway follows the model of the Cosmos Hub where token supply increases between 7% to 20% annually. Like gas fees, these new tokens are also split between dapp developers and validators. At genesis this split will be 25% to dapps and 75% to validators.
3) Smart Contract Fees - While traditional gas fees cover the computational costs of a smart contract, there are additional costs like distributed storage and off-chain processing that need to be covered. Archway allows dapp developers to create custom fees within their smart contracts to pay for these costs. These fees are viewed as the total network fee to users and can also be changed even after the contract has been deployed.
What can developers do with their rewards?
On Archway, developers have the complete power to choose what they want to do with their rewards. Here are just some suggestions that might benefit your projects:
Subsidize Gas Fees - Gas fees can be a major challenge to both the adoption and user experience of a dapp. Dapp developers have the power to cover all or a portion of the gas fees paid by users using their gas rebates from the network. This can be helpful in both growing and retaining a user base through a smooth onboarding and transaction process.
Support for Core Development Team - Development teams typically have to rely on insider token sales and grants for fundraising and support. These can put development teams in a position to make decisions that have a negative effect on token distribution and technology used. Through the reward system of Archway, development teams can be funded without compromises to their dapp and ecosystem.
Fund a DAO - DAOs require a treasury to empower its members to deliver projects like sponsoring hackathons, launching education programs and other important DAO initiatives. DAOs that support the ecosystem and are connected to a dapp on Archway can use the reward system to fund these type of activities.
How does Archway use the Cosmos SDK?
Archway uses pre-defined modules within the Cosmos SDK for basic blockchain functionality including authenticating transactions, blockchain accounting, smart contract runtime and consensus. In addition to these modules, Archway has created two custom modules for reward distribution and tracking gas consumption.
Tokens will not be offered in the following prohibited jurisdictions:
- United States of America
- Central African Republic
- Democratic Republic of Congo
- Democratic People’s Republic of Korea
- Cote D’Ivoire
- the Crimea region of Ukraine
- Hong Kong
- South Sudan