wadz whitepaper inclusive infrastructure for the ... · wadz utilizes blockchain to enable cheaper,...

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Copyright © Wadz Pte. Ltd.

Wadz Whitepaper

Inclusive Infrastructure for the Blockchain and payments

ecosystem

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Abstract

The payments industry is evolving dramatically, fuelled by the rise of the Internet economy.

FinTech companies are collaborating with financial institutions and governments to inspire

change. In these disruptive times, industries are realizing that they can no longer survive purely

on legacy payment structures and systems, and that there is a fast-growing need to upgrade to

newer payment processing technologies.

Merchants, however, typically do not benefit from newer payment processing technologies.

Even with the rise of digital wallets, the core infrastructure behind them is still the same

outdated process and legacy technology. While consumers may benefit from these

conveniences, merchant pain points still largely remain the same as ever, and thus, adoption of

new technology remains sluggish.

As the world shifts inevitably towards a ‘cashless first’ economy, Wadz will utilize Blockchain

technology to be at the forefront of the payments industry. As reported in multiple government

and institutional analyses, Blockchain technology has the potential to enable superior efficiency,

transparency, and cost over traditional systems – but not everyone shares the perception that

Blockchain will see widespread practical applications.

Wadz is more than just a payment processing product: the core of Wadz is our open, inclusive

infrastructure, and the decentralized governance protocol enabled by the Proof-of-Contribution

(PoC) model. Leveraging Blockchain can reduce cost, process layers, and settlement periods.

However, in order to be the most inclusive and accessible product, we have expanded on the

use of Blockchain to minimize fraud, maximize positive contributions, and enable multiple forms

of financial collaboration.

The FinTech revolution is in full effect, and technology is the primary catalyst for change.

Innovative solutions empower financial institutions and boost financial inclusion globally. We

call upon partners, analysts, advisors, charity groups, governments, and financial institutions

across emerging markets to support our commitment and resolve to innovate and evolve, in

order to equip the payment industry for the future.

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Table of Contents

Abstract ................................................................................................................................................. 2

1.0 Introduction ............................................................................................................................... 5

1.1 Wadz Team’s Mission ........................................................................................................... 5

2.0 Problems .................................................................................................................................... 6

2.1 Merchants .............................................................................................................................. 6

2.1.1 High Cost and Transaction Fees .................................................................................. 6

2.1.2 Difficulty Acquiring Reliable Data ................................................................................. 7

2.1.3 Drawbacks of Utilizing Multiple Management Solutions ............................................ 7

2.2 Consumers ............................................................................................................................. 8

2.2.1 Lack of Control Over Personal Data ............................................................................. 8

2.2.2 High Barrier to Entry to Digital Currency Payment ...................................................... 8

2.3 Emerging Markets ................................................................................................................. 9

2.3.1 The Unbanked and Inaccessible Services ................................................................... 9

3.0 Wadz Architecture ................................................................................................................... 11

3.1 Inclusive Infrastructure ....................................................................................................... 11

3.1.1 Decentralized Finance (DeFi) Products ...................................................................... 11

3.1.2 Cryptocurrency Wallets & Exchanges ......................................................................... 12

3.1.3 Retailers & Services ..................................................................................................... 12

3.1.4 Microtransactions ........................................................................................................ 12

3.2 AI Commerce for all Business Sizes .................................................................................. 13

3.2.1 Targeted Marketing ..................................................................................................... 13

3.2.2 Market Trend Predictions ............................................................................................ 13

3.2.3 Cash Flow Management ............................................................................................. 14

3.2.4 Inventory Management................................................................................................ 14

3.3 Multicurrency Payment Platform ....................................................................................... 15

3.3.1 Online Purchases ......................................................................................................... 15

3.3.2 Brick-and-Mortar Merchants ....................................................................................... 16

3.3.3 Automated Crypto/Fiat Settlement ............................................................................ 16

3.3.4 Eliminating the Middlemen ......................................................................................... 17

3.4 White-Label Model ............................................................................................................... 18

3.5 Data Marketplace ................................................................................................................ 20

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4.0 WTK Economy ......................................................................................................................... 21

4.1 Proof-of-Contribution .......................................................................................................... 21

4.1.1 Consumer and Merchant participation ...................................................................... 22

4.1.2 Decentralized AI-enabled Reputation System ........................................................... 23

4.1.3 Exclusive Deals and Services ...................................................................................... 23

4.2 Data Purchase and Monetization ....................................................................................... 23

4.3 Additional Benefits of WTK ................................................................................................. 24

4.4 WTK Burn Mechanism ........................................................................................................ 24

5.0 WTK Token............................................................................................................................... 25

5.1 Token Model ........................................................................................................................ 25

6.0 Development Strategy & Roadmap ........................................................................................ 26

7.0 Team ........................................................................................................................................ 27

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1.0 Introduction

Wadz is an inclusive payments infrastructure that leverages on Blockchain technology to

incentivize data ownership for consumers and businesses, and to redefine payment processing

technology.

Wadz utilizes Blockchain to enable cheaper, faster, secure, and hassle-free transactions. Not

only do we seek to build a mutually beneficial, long-lasting relationship with merchants and

consumers by offering cost-effective, tech-enabled solutions, the Wadz architecture is

developed to be integrated easily with a wide range of products, solutions and applications.

1.1 Wadz Team’s Mission

Wadz was initially conceptualized as a Blockchain-anchored payments platform aimed at

solving the current merchant pain points associated with conventional payment processors, and

providing merchants with the capability to accept digital payments. From this starting point

Wadz has evolved. Further research into the Blockchain and payments ecosystems found that

emerging markets stand to benefit from this new technology if various underlying issues can be

solved.

As a result we have further expanded on our core initiatives to the realms of data ownership,

emerging markets, and financial inclusion. Based on the team’s wealth of experience, the team

is confident in making the following vision a reality:

1. To equip merchants with the capability to accept digital payments

2. Provide the unbanked with access to previously unattainable services

3. To ease the usage of Blockchain products, even by people who have no knowledge of

Blockchain technology or cryptocurrencies

4. To monetize personal data anonymously as well as allow merchants to purchase

affordable, and ethically sourced reliable data

5. To build a cohesive and positive contribution-based ecosystem

6. To create a payments platform where different solutions can communicate and

collaborate with each other through sharing of valuable data across the ecosystem

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2.0 Problems

According to the McKinsey report, “global payment revenues are expected to surpass $3 trillion

in the next five years. The global payments revenue growth is dominated by the Asia-Pacific

region. At more than $900 billion, the region now accounts for nearly half of global payments

revenue, compared to less than a quarter just six years earlier. Payment revenues in APAC will

grow at a double-digit growth rate over the next five years, faster than any other region across

the world.”

Even though the statistics are impressive and aligned with the rapid development of the Internet

economy, there are still several underlying issues that have not been satisfactorily resolved. We

have identified pain points within the following segments: merchants, consumers, and emerging

markets.

2.1 Merchants

While payment systems have evolved over time to become more reliable and efficient, offline

commerce still overpowers online commerce, standing at a staggering $25 trillion. Merchants

have found themselves unable to keep up with the pace of technological transformation; the

financial industry is grappling with the changes and challenges presented by the FinTech boom.

In Indonesia, digital wallets and payment solutions have only achieved an estimated 6% market

penetration with merchants. While they offer convenience for merchants, there are heavy fees

associated with using these digital payment systems, in large part because they still rely on

outdated transactional processes. Furthermore, merchants receive no other benefits when

using such digital payments services, outside of the core functionality.

2.1.1 High Cost and Transaction Fees

As the digital payment landscape evolves, brick and mortar retailers are often unsure about the

best path with regards to their uptake of the new options. Either they need to embrace new

innovations and adapt to increasing consumer convenience considerations, or choose to lose

out on market share.

Today, cashier-less checkouts are a booming trend in brick and mortar retail, but the technology

to deploy such a system is expensive, and requires dedicated lanes, and for dedicated hardware

to be installed. High merchant transaction fees further add to merchant’s cost.

Providers Shopify POS PayPal Stripe Credit Cards Per Transaction Fee

2.6% + $0.30 2.9% + $0.30 2.9% + $0.30 1.9% to 16%

Transaction fee table

While consumers may transact digitally at no additional costs, they are not offered for free to

merchants. Merchants are charged by intermediaries and financial institutions to facilitate each

transaction.

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Due to the complexity of the current payment processing industry, payment gateways have to

act as intermediaries that connect consumers with merchants. With these intermediaries

retaining full control over the payment journey, merchants are commonly charged unreasonably

high fees, based on their categorization (in the eyes of the intermediary), geographic location

and consumer type.

2.1.2 Difficulty Acquiring Reliable Data

Merchants using legacy payment systems have limited access to the kind of consumer data

that can be essential to the execution of growth and marketing strategies. This is due to

consumer data being split between the different players in the payments ecosystem, meaning

that merchants do not have a complete picture of their customers’ behavior.

For instance, Bob makes a credit card transaction with Merchant A but Merchant A fails to keep

track of the item purchased by Bob. Credit card companies might be able to provide the identity

of the customer, transaction amount and geographic location but only the merchant could know

the item purchased.

These limitations have consistently prevented merchants from fully knowing their customers.

Furthermore, merging of data between these players in the payments ecosystem is unlikely to

happen due to regulatory issues around data privacy, and conflicts of interest.

2.1.3 Drawbacks of Utilizing Multiple Management Solutions

Merchants in this digital age are often utilizing multiple tech solutions, such as inventory

management, cash flow management, marketing, and analytical tools. However, these solutions

are typically from different providers, and are as a consequence siloed, resulting in a less than

seamless experience for merchants, especially as it relates to the data that the different

systems manage and produce.

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2.2 Consumers

As reported by Visa in their 2018 Consumer Payment Trend research, a continuous downward

trend of cash usage can be seen within Southeast Asia as consumers increasingly embrace

non-cash payments.

Payment systems today have become more streamlined to help consumers, merchants and

financial institutions to pay and accept payments instantly with a single click. While cash as a

medium offers immediate settlement, digital payment channels enable multi-currency transfer

across geographies. The digitally evolving consumer expects less waiting time for fund transfer,

faster processing of payments, consolidated reporting, and notifications on their digital devices.

Economies are also benefiting greatly from embracing electronic payments, with over US$296

billion added to the global GDP between 2011 and 2015 globally. In addition, Digital wallets are

estimated to have added approximately $40 billion to global payment revenues in 2017,

showing that a revolution driven by this technology is underway.

Though digital wallets are still in early development in most countries, some areas are starting

to see an uptick in adoption. Worldwide, 2.07 billion consumers will use a mobile wallet to make

a purchase in 2019; this is up nearly 30 percent from the 1.6 billion consumers recorded at the

end of 2017. China is currently the largest adopter of mobile payments, but other countries are

starting to catch up. In Southeast Asia countries such as Indonesia, Thailand and Vietnam have

shown massive growth in digital wallet adoption.

2.2.1 Lack of Control Over Personal Data

Data is often monetized without the knowledge or consent of consumers, largely due to

consumers not paying attention to terms and conditions that allow corporations to use and

monetize data freely.

While the cost of personal data may vary, evaluations have shown that personal data can be

worth up to USD$200 annually per person. Data monetization has the potential to significantly

benefit people in countries such as Indonesia and Vietnam, where the average annual income is

around USD$2000.

2.2.2 High Barrier to Entry to Digital Currency Payment

As the digital payment landscape evolves with changing business demands, many new forms of

digital currencies have come to play, and include: Bitcoin, Litecoin, Dash, Zcash, Stellar,

Ethereum, and many more. A quick search on CoinMarketCap would show that there are almost

5k different cryptocurrencies currently in circulation at present; however, only a tiny fraction of

them are being actively used for digital payments.

Among the trends of cryptocurrency owners as surveyed by CrowdFund Insider, they were more

likely to store their cryptocurrencies on an exchange because of the exchange’s brand

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recognition and security. With cryptocurrency sitting on exchanges, cryptocurrency owners are

not able to pay for goods and services with cryptocurrencies as easily as they might want.

A survey by bitcoin.com has shown that a whopping 70% of cryptocurrency owners rarely use

crypto for payments, with many citing the fact that cryptocurrency transactions are confusing,

especially when it comes to setting the appropriate gas or mining fee to make them.

In addition, there is a rather high learning curve for people who are attempting to purchase

cryptocurrency for the first time due to the lack of understanding around the differences

between public and private keys.

2.3 Emerging Markets

Over the last 4 years, Southeast Asia’s (SEA) internet economy has tripled, and is reportedly

valued at USD$100 billion, with Indonesia and Vietnam leading economic growth at an excess of

40% annually. These are aligned with the rapid growth of the Internet, digital, social media, and

mobile activities in SEA regions, where there are over 360 million internet users with over 90%

who connect to the Internet primarily via their mobile phones.

While there are increasing levels of internet usage in SEA, there are still issues that need to be

overcome, however, once solved, these will further spur the growth of the economy, and

improve way of life for many people.

2.3.1 The Unbanked and Inaccessible Services

There are over 2 billion unbanked users globally and more than 50% reside in Asia. Since bank

account ownership is nearly universal in high-income economies, virtually all unbanked adults

live in developing economies. Despite relatively high account ownership in China and India,

these nations continue to feature in the list of the globally unbanked population because of the

size of their populations.

Even as bank account ownership stagnates in East Asia and the Pacific, the use of digital

transactions has increased phenomenally, with 71% of adults owning a bank account. However,

the percentage of unbanked continues to remain high in Indonesia, at 49% as of 2018.

20 25 30 35 40 45 50 55 60 65 70 75 80 85 90 95 100

2011 2017

High Income East Asia & Pacific

South Asia Europe & Central Asia

Latin America & Caribbean Middle East & North Africa

Sub-Saharan Africa

Percentage of people (>15 years old) with a banking account

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Various reports have highlighted a number of reasons why many people in these regions choose

to remain unbanked, such as lack of sufficient money to open a bank account, belief by the

unbanked that they do not need a bank account due to their limited earnings, costs of

maintenance, distance barriers, distrust in the current financial system, and documentation

requirements. These are the same group of people, the unbanked, that have limited access to

services that requires a bank account such as loans, insurance, or simply just a place for their

financial savings.

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3.0 Wadz Architecture

The Wadz architecture consists of several features and components that are aligned to provide

a cohesive and growing ecosystem between not just consumers and merchants, but also

existing applications that wish to take advantage of Wadz’s payment processor technology and

network.

3.1 Inclusive Infrastructure

As an inclusive infrastructure, Wadz can be easily integrated into any business, offline or online,

or into any applications. The inclusive infrastructure serves to unlock many possibilities for

partners in garnering a whole new demographic and also various services at affordable rates –

with more merchants and partners on board, it will serve to mutually benefit consumers,

merchants and the WTK ecosystem.

3.1.1 Decentralized Finance (DeFi) Products

DeFi products are financial products built on Blockchain that are created using decentralized

frameworks to allow anyone in the world to have access to financial services in a transparent

manner, replacing intermediaries with technology. Examples of DeFi products are lending,

assets collateralization, derivatives, DEXs (Decentralized exchanges), and insurance.

While there has been a rise in DeFi usage, transactional volume has shown that dApps

(decentralized applications on the Blockchain) were seeing a huge downtrend in transactional

volume, and funds are visibly flowing into DeFi products instead. This has been a huge

indication that DeFi products have still not broken out of the usual Blockchain demographic due

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to the difficulty in using such applications. Exposure to the public at large can not only drive

volume, but also dramatically improve way of life for users in emerging markets.

The Wadz platform simplifies the usage processes for DeFi products. With an existing account

on Wadz, consumers can get started on using DeFi products with a few simple navigations. Our

ultimate goal of integrating DeFi products is not only to broaden usage as a gateway to other

Blockchain applications, but also to begin educating the general public on the advantages that

Blockchain is able to bring to them.

3.1.2 Cryptocurrency Wallets & Exchanges

With Wadz, crypto wallets, and crypto exchanges can easily integrate into the platform to allow

for existing cryptocurrency owners to get started with Wadz right away. Partners of Wadz will

also be incentivized when integrated onto Wadz platform. Not only will they get a share of

revenue when payments are made with Wadz through their service, wallet and exchanges,

partners of Wadz will stand to gain when there is active circulating volume in their own

ecosystem.

Wadz will support integration by providing plug-ins via APIs and SDKs for developers to be able

to either integrate with Wadz, or to support Wadz on their applications. Wadz will also provide

custom integration support for partners who require a more customized solution when utilizing

Wadz.

3.1.3 Retailers & Services

Wadz has little to zero restrictions on the businesses that can come onboard, as long as they

are aligned with the laws and regulations of the specific geographic location in which they

operate. Businesses can choose to integrate Wadz into their systems via an API, or to integrate

onto the Wadz platform directly.

Examples of businesses that can utilize Wadz include: convenience stores, fast food chains,

insurance/microinsurance companies, e-commerce stores, ride-hailing, and sharing services, to

mention just a few.

3.1.4 Microtransactions

Microtransactions are typically used in purchasing digital or virtual goods. This is often seen in

video games, where the model is widely employed and has been reported to be a large part of

revenue for game developers.

According to an article on Forbes, EA’s FIFA video game franchise accounts for nearly 40% of

EA’s revenue. In 2016, the physical copy of the 2016 version of FIFA generated USD$450 million

in revenue, however USD$650 million was generated through microtransactions alone, earning

the company more than the physical copy of the game.

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With Blockchain we are able to significantly reduce transaction overheads for merchants by

facilitating “microtransactions” with near-zero charges, enabling instant verification, and

reducing chargebacks.

3.2 AI Commerce for all Business Sizes

Artificial Intelligence (AI) has been statistically proven to have huge impacts across almost all

industries. Many enterprises have chosen to depend entirely on AI for their analytics and

business processes, as it allows for more efficiency and effectiveness. AI is now learning to

assist humans in their day-to-day repetitive functions, thus helping businesses focus more on

revenue productive functions and cost savings.

AI however, has not been entirely accessible to all businesses, with few solutions that actually

suits business needs.

With Wadz, we are enabling AI solutions that cater for all business sizes. In the case of our

implementation, businesses can expect to bring in more consumers and increase their margins,

as Wadz will utilize a state of the art analytics engine to analyze and curate collected data in

order to deliver meaningful insight.

3.2.1 Targeted Marketing

AI brings a sense of direction and purpose to support merchant focused marketing efforts.

Using AI, merchants can understand consumer-specific buying patterns, predict purchase

behavior, and design customized marketing campaigns to boost sales and minimize the

nuisance inflicted on the end-user by poorly target ads.

This type of purchasing-data driven marketing will save merchants money by avoiding

expensive and inefficient advertisement campaigns which fail to target the right kinds of

consumers. Furthermore, we are convinced that by delivering relevant offerings to consumers,

and helping them save money on products and services that fit their needs and budget, overall

consumer satisfaction and responsiveness will increase.

Together, our strategy should improve the overall transaction experience for both merchants

and consumers, and ultimately translate into increased usage of the Wadz platform and

merchant services.

3.2.2 Market Trend Predictions

Without sufficient and accurate data, any analysis derived would have low value. Wadz will

capture and aggregate transactional information from merchants using our payment gateway to

provide recommendations through various metrics on how consumers’ interests are changing

over time across product categories. This process will provide vendors with accurate market

predictions to be able to make smart decisions with regards to their business growth and

development.

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Most of the problems faced stem from a lack of clean data, which is a result of the difficulties

of managing data across a large number of merchants, each using different product codes and

descriptions. With current payment systems the issue is even more pernicious because most of

the data is incomplete and/or lost when transferring between the various intermediaries, where

the primary purpose is to relay transaction details.

Using AI technology, we will in turn help provide a structure that will ultimately enable the

prediction of market trends. This technology will also help understand the supply and demand

of goods based on a number of parameters such as seasonality, location, product type, cost

advantage, and brand, to name a few, which together will offer valuable information to

merchants. Data collected anonymously from consumers during transactions will then be

analyzed to understand the change in consumer purchasing behavior, and evaluate any changes

in product demand. This, in turn, will help store managers to adjust the supply chain for their

store in real-time, reducing inefficiencies and helping them increase their revenues while

reducing the cost to the end consumer.

3.2.3 Cash Flow Management

Wadz enables faster settlements which can be as low as 1-3 days. As a result, merchants can

utilize revenue from sales much faster, rather than the funds being retained by institutions and

invested.

Wadz follows an approach which is far superior, wherein the settlement period is determined by

the reputation of the business. The reputation of a merchant is tied to the feedback collected

overtime from its consumers and is based on the quality and the efficiency of the merchant

services. Wadz can be considered as a pipeline that connects the transfer of financial value

both upstream and downstream to reduce the cost of liquidity in-between settlements.

Furthermore, this comes with the added benefit of having all purchases and invoice records

stored in a central place, thus alleviating the pain point of traditional manual reconciliation.

3.2.4 Inventory Management

Wadz’s AI analyzes inventory consumption and provides the merchant with recommendations

based on past trends. The system helps maintain an adequate inventory of stock in demand. It

will automatically prompt merchants when items or SKUs (stock keeping units) are running low,

or are expected to run low. This ultimately will help merchants make more informed decisions

about their business, resulting in savings on manpower, storage space, and inventory.

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3.3 Multicurrency Payment Platform

Wadz offers a multi-currency digital wallet. With a cryptocurrency market cap of over USD$200

billion, it makes for endless opportunities in acceptance of alternative cryptocurrencies. Wadz is

the first agnostic and interoperable cryptocurrency acceptance ecosystem, and will allow the

most relevant cryptocurrencies in the market to be available to consumers in order to make

purchases.

Wadz will charge near-zero fees on each transaction and will continuously aim to be the lowest

in the market. Merchants will have the option to settle their payments in either fiat or

cryptocurrency.

3.3.1 Online Purchases

For E-Commerce merchants, Wadz offers an easy-to-adopt solution in the form of plug-ins for

the most popular e-commerce platforms such as Magento, WooCommerce, OpenCart, and

Shopify. Merchants are required to install the plug-ins or API’s through their e-commerce

platform and follow simple steps to start accepting payments via Wadz.

For consumers, Wadz is offered as a web-based wallet to help users transact. Simplicity is at

the heart of the experience Wadz offers. We provide the convenience of making purchases and

transfers without the hassle of using public or private keys for each transaction. If both the

sender and the recipient are using Wadz as a transaction facilitator, the payment transactions

are processed off-chain without the need to have any waiting period for transactions to be

processed and confirmed. Wadz can be considered a custody wallet built for the easy utilization

cryptocurrencies for purchases.

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3.3.2 Brick-and-Mortar Merchants

In order to capture the entire retail space, Wadz is currently developing a mobile application

which will enable buyers to settle payments at their favorite retail stores. Wadz is designing a

simple user interface that will enable merchants to receive payment through the used of a

simple QR code, without requiring merchants to make significant changes to their operations, or

purchase expensive additional hardware.

As a part of the product evolution, Wadz will design a merchant application that can be loaded

on any mobile device in order to turn them into a POS terminal, or integrate into any existing

POS terminal. Ultimately, this merchant-specific mobile application would provide added

security as well as playing a critical role in the transfer of smart data for the AI powered services

that Wadz plans to offer to consumers and merchants.

3.3.3 Automated Crypto/Fiat Settlement

Wadz is automating 85% of the overall payment cycle using Blockchain. This has enabled us to

slash the cost of running such a powerful network and directly pass the benefit to the consumer

and merchants. Wadz charges near-zero fees and allows merchants to receive settlements via

cryptocurrencies or in fiat. In the case of fiat settlement, there may be additional conversion

fees applicable based on prevailing market regulations.

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3.3.4 Eliminating the Middlemen

With the implementation of Blockchain, we are able to eradicate the need for a multilayer, tri-

party (Issuer, Acquirer and Switch) payment system. In the Wadz ecosystem, the Consumer is

directly connected with the Merchant.

Typical credit/debit card transaction

Transaction with Wadz

With our technology and payments background experience, we have been able to all but

eradicate the latencies in the existing legacy payment systems. Wadz is implementing a simple

‘Pay as you Go’ model with near-zero charges and no hidden costs, contracts, or overheads.

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3.4 White-Label Model

Wadz’s white-label model will allow for external parties to utilize Wadz’s proprietary technology,

rebranded as their own, while still being part of Wadz’s ecosystem. By white-labeling Wadz’s

technology, external parties will essentially allow for interoperable payments across all other

white-labeled merchants, and Wadz’s platform via their native tokens.

Examples:

White-label application to Wadz’s Merchants Purchases

Company A has white-labeled Wadz’s solution to enable digital payments. When a consumer

uses Company A’s application to make a purchase with Wadz’s merchants, revenue from the

transaction will be shared between Company A and Wadz.

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Cross-company Purchases

Company A and Company B have both white-labeled Wadz’s solution to enable digital payments.

When a consumer from Company A wishes to purchase from Company B’s merchants, he/she

can do so using Company A’s application. Company A and Company B will then have a share of

the revenue gained from the transaction.

As shown from the above instances, Wadz and white-label partners benefit from this because

everyone in the ecosystem will essentially be sharing their pool of merchants, increasing

opportunities for revenue substantially. With every white-label partner transaction, Wadz takes a

small cut for management of their solution, and to help in boosting the growth of the

ecosystem.

Wadz will employ a strict screening process to ensure that external parties fit the necessary

criteria before they are allowed to white-label Wadz’s application. We will assess metrics such

as community and user base, business model, and strategic fit.

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3.5 Data Marketplace

The Wadz Data Marketplace will connect merchants and consumers on the Wadz platform to

allow merchants to purchase behavioral and transactional data while also allowing consumers

to choose if they want to be incentivized to share their personal data.

Merchants will have the ability to choose the type of data they wish to purchase, for example,

choosing to purchase data regarding males between the ages of 18 and 30; consumers in the

requested demographic can then choose whether they wish to upload their personal data to the

merchant for monetary incentives.

Consumers will always be protected by Wadz’s security and encryption protocols, consumer

identity will remain anonymous throughout this transaction, and Wadz will only facilitate in

sending merchants a consolidated set of trends and averages, instead of individual purchasing

and transactional information.

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4.0 WTK Economy

The utility token, Wadz Token (WTK), will power the WTK ecosystem. The ecosystem is

strategically designed to incentivize positive contributions, reduce fraud and malicious

transactions, and also to promote sustainable growth of the ecosystem.

The token economy is also based off a deflationary model whereby the overall supply of the

tokens will be deflated by token-burns from the circulating supply of WTK.

4.1 Proof-of-Contribution

The unique Proof-of-Contribution (PoC) model will be the primarily anchor that supports the

ecosystem by having consumers and merchants be part of WTK governance protocol by staking

WTK as collateral. This model will ensure that staked users act in the best interest of the

community while keeping the ecosystem active.

The staking requirements are set as low as possible to allow for maximum accessibility;

especially for consumers and merchants in emerging markets.

Tier No. of WTK required for staking Reward Multiplier (per annum basis)

Silver 400 0.002 Gold 800 0.003 Platinum Above 800 0.005 *Subject to changes

Staked users are only rewarded based off their amount of contributions on Wadz. The more

contributions are made, the more rewards the users will stand to receive. The model for stake

rewards under the Proof-of-Contribution Model for Wadz is as follows:

Stake rewards = (WTK Staked) x (Reputation score (0-10) of user) x (User PoC Multiplier)

E.g Alice is a Silver tier and has a reputation score of 9, based on her activity and contributions

to the Wadz reputation system, she currently has 400 WTK staked in the staking contract under

her account. Her rewards for the stake will then be calculated as:

Rewards (WTK) = 400 x 9 x 0.002

Rewards = 7.2 WTK

Stake rewards are calculated and distributed on a quarterly basis to ensure that there is enough

time to allow for a stable reputation score for each user in the membership tiers. In order to

unstake, there is a 30-day vesting period before WTK is returned.

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4.1.1 Consumer and Merchant participation

Before merchants and consumers are allowed to stake to achieve a premium status, they are

required to behave positively, actively and consistently, and also fulfill a certain number of

qualitative and quantitative requirements.

Merchants and consumers are not required to achieve all of the requirements but should fulfill

most of the requirements outlined below before staking:

Merchant Requirements

Qualitative Quantitative Wadz Merchant Reputation Score

Transaction Volume

Number of Disputed Purchases Lost

Order Fulfillment Success Rate OR Service Satisfaction (For Brick and Mortar shops)

KYC and Merchant Profile Completion Level

Activity Level e.g. invoicing, replies for inquiries, use of Wadz services

Consumer Requirements

Qualitative and Quantitative Requirements Number of Disputed purchases lost User Profile completion level Participation Rate for Merchant Reputation Scoring User Activity Level on Wadz Platform

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4.1.2 Decentralized AI-enabled Reputation System

The Decentralized AI-enabled Reputation System will be completely governed by consumers

and merchants who are staking WTK. This model and implementation enables Wadz to have a

quick and nimble approach to eliminating fraud within the ecosystem, a unique service provision

that extends beyond KYC/AML integrations. This allows for active participation of community to

clean up the transactions and behavior within the Wadz platform while at the same time

allowing incentivization for voting against malicious activities.

As part of the requirement in achieving quarterly rewards for staking WTK, only participants who

have staked WTK will be randomly chosen through the reputation system to vote on both

merchant and consumer disputes. However, consistent bad votes will be reflected on the

reputation score and ultimately punished upon reaching the limit.

Consumers and merchants can also gain reputation score by giving each other feedback or

confirming receipt of goods upon successful completion of a transaction.

4.1.3 Exclusive Deals and Services

As part of Wadz governance protocol, users who staked will have access to exclusive deals and

services, which are stated in the following:

Consumers Merchants Additional discount on goods and services Discount on Wadz services Participate in funding activities such as loans Access to financial services (Microloans,

asset collateralization, etc) Exclusive customer support Exclusive customer support Priority Placement as a Paid-feature on Wadz

4.2 Data Purchase and Monetization

WTK will be the main driver for the data marketplace as mentioned in Section 3.4; merchants

will have to utilize WTK in order to make purchase for behavioral and transactional data of the

demographic and geographic location of their choosing. Consumers who fit the request will

then be incentivized in WTK if they agree to share their data.

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Merchants will only be charged for the amount of data shared with them.

For example, Merchant A pays 1000 WTK for the data relating to 10,000 persons in his/her

preferred demographic – however only 8000 people were willing to share their data at a total of

800 WTK, the remainder of 200 WTK paid by Merchant A will be refunded.

4.3 Additional Benefits of WTK

As there are different actors on the Wadz platform (consumers, merchants etc.), WTK can be

used to derive different benefits. The following are the benefits which the different actors can

enjoy when using WTK:

Consumers Merchants - Lower Peer-to-Peer Transaction Fees

- Discount/rebates on goods and

services

- Support philanthropy disbursement

efforts

- Lower transaction fees and quicker

settlements

- Ease of invoice settlements

- Discount on A.I. commerce solutions

- Discount/rebates on goods and

services

- Support philanthropy disbursement

efforts

- Provide digital vouchers

4.4 WTK Burn Mechanism

Each WTK-based transaction by merchants on the Wadz platform will be subjected to a 10%

burn from each transaction that occurs.

For example, Merchant A spends 1000 WTK for inventory management services; Wadz will take

100 WTK and remove it from the circulating supply.

This deflation scales together with the activity and growth of Wadz as a whole, ensuring that the

burn rate increases as the company grows over time while also keeping a healthy circulating

supply and maintaining sustainability for WTK.

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5.0 WTK Token

5.1 Token Model

Ticker WTK Total Supply 458, 000, 000 Strategic Round Token Price USD $0.026 Public Round Token Price USD $0.0208

Soft Cap USD $2 million Hard Cap USD $6 million Token Type on Listing ERC20 Strategic Round Vesting 75% released on listing, 25% released 6 months later Team token vesting 1 year lock-up followed by milestone-based releases

(milestone release schedule to be announced)

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6.0 Development Strategy & Roadmap

We intend to ‘Start local, Go Global’, with the initial focus on countries that have a higher

proportion of unbanked. Starting with a pragmatic approach of growth and ensuring that our

strategy is aligned to our long-term business goals, Wadz plans to focus on countries in the

region with a large number of potential users and where regulations are favorable to the

commercialization of our platform.

In particular, Wadz is initially releasing its product in Indonesia, which has a vast population of

over 260 million people and a high rate of unbanked as over 50% of the adult population lives

without a bank account. Wadz will also focus its initial efforts in Vietnam and Thailand where

retail is a high growth sector and where a combined population of over 160 million relies in large

part on cash payments, despite the countries having robust telecommunications infrastructure.

We have already established a number of partnerships with local exchanges, and have identified

a number of e-commerce companies looking to use our platform to collect payments.

Following the release of the Wadz payment platform in these initial countries, Wadz will apply

resources to expanding into new countries, driven by the partnerships that it can build in

countries within Asia-Pacific (APAC), and in the Middle East and North Africa (MENA).

Furthermore, should there be changes to the regulatory landscapes in countries such as China

and India, Wadz, will position itself favorably to move quickly in these countries with a high rate

of unbanked, and representing together a third of the world population.

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7.0 Team

Anish Jain, MBA

Founder & CEO

Anish is an incisive leader with over 15 years of extensive experience with two of

the top payment processing companies in the world. In his last role as Vice

President for Market Development with MasterCard, he managed markets such

as Asia, Australia, Middle East & Africa. In this role, he led and executed several

successful payments projects across the region with Telcos, Airlines, Large

Retailers, Governments, etc.

Prior to MasterCard, he was the Client General Manager for American Express

and was posted in various geographies including India, Australia, and Singapore.

In addition, Anish also currently oversees a successful asset management

company in Singapore, and his family manages a number of successful

telecommunication projects in India and Africa.

Anish holds a Masters in Business Administration & a Masters in Finance.

Fabio Paridiso

COO

Fabio Paradiso is a Talent Acquisition and Talent Management specialist. He

brings with him over 15 years of experience in helping companies reach their

growth objectives by implementing scalable, human capital strategies.

Hailing from Italy, he spent a few years perfecting the trade in San Francisco,

providing talent acquisition services to Silicon Valley-based companies such as

Apple, Google and Genetech. He then moved to South-East Asia to kick start the

Singapore office on behalf of two International Tech recruitment firms. Fabio

also co-founded Zero2Group Pte Ltd, a Tech recruitment and talent acquisition

consulting firm in Singapore, for which he is now the managing director.

Aaron Tan

Regional VP of Partnerships

Aaron is a passionate blockchain entrepreneur and co-founder of Nakka

Singapore, a venture and community building company that focuses on emerging

tech and blockchain solutions.

Being a consultant and core team member of several ICOs has enabled Aaron to

acquire a wide range of business development and sales experience in the

blockchain industry.

Prior to working in the arena of blockchain technology, Aaron has worked in tech

and marketing startups, SMEs, as well as Government-linked organizations in

Singapore.

Aaron brings to Wadz a fresh, entrepreneurial, ground-up perspective that highly

reflects the new generation of millennial blockchain entrepreneurs.

Tanuj Soni

Tech Lead

Tanuj is an experienced Tech Lead with 9+ years of experience who works in a

dynamic and challenging environment. His position involves designing, planning,

and executing projects in a technical perspective and he is the single point of

contact for the technical needs of the application.

His role includes working with complex designs and developing applications,

solutions and information systems in - RoR, NodeJS, MeteorJS, ReactJS, Elixir,

Ethereum, and Hyperledger Fabric architecture and works with Senior Software

Engineers and Product Manager for execution of projects.

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Vishal Maheshwari

Product Manager

Vishal is a seasoned and result oriented Product Manager having a proactive

attitude and result-driven mindset and holds 10+ years of experience in

developing enterprise-grade software solutions. He is experienced in identifying

business opportunities, building a product strategy, and influencing tech

stakeholders.

He holds notable development knowledge in Open source tools and technologies

and monitors the work progress of the team. He formulates the blockchain

implementation strategy for client businesses and ensures that

recommendations and decisions are consistent with the client’s objectives.

Liew Jia Jun

Marketing & Communications Manager

Jia Jun is a generalist with a core focus on marketing and passion for emerging

technologies - especially Blockchain. With his technical and programming

knowledge, Jia Jun can decipher the latest Blockchain trends and position them

in-line with his scope.

Prior to joining Wadz, Jia Jun has worked with multiple Blockchain companies in

developing and executing strategies that are not limited to - community

management, marketing strategies, product development and content creation.

With his successes and wealth of experience in the Blockchain space, Jia Jun is

expected to not only make an impact on marketing strategies - but across

various functions of Wadz.

Sulaiman Latiff

Business Development Manager – Singapore & Indonesia

Sulaiman worked for over 3 years as a sales consultant and OTC broker for

cryptocurrencies. As an OTC Broker he handled multi-million dollar transactions

across multiple countries with a multitude of clients ranging from angel investors

to big corporations. Consequently, he grew a large network of high net worth

individuals in the brokerage space.

In addition, being multilingual and fluent in Bahasa Indonesia will help the

development of Wadz business in Indonesia and support the onboarding and

coordination of merchant acquisition there. His large network of connection is

critical for the rapid growth of Wadz in this first wave of expansion abroad.

Bipasha Bhattacharyya

Head of Merchant Training

Bipasha worked for over 15 years in the arena of training, coaching and

leadership development. She obtained a Certified Leadership Coach (ICF

Accredited) and was trained by Mr. Peter J Reding MCC. During the course of her

career, she works extensively on management capability, transformation, and

leadership initiatives.

Bipasha works across Asia and in particular with leaders from India, Singapore,

Pakistan, Sri Lanka, Bangladesh, and Thailand. As a seasoned consultant, she

combines her passion for learning and business to create engaging and highly

relevant training courses and documentation.

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