What is Walrus Protocol?
Walrus is a storage protocol for large files (called blobs), such as videos, images, or databases. It is built on the Sui blockchain, leveraging its high speed to manage the "coordination" of storage, while the actual data resides on a network of independent nodes.
Its major technical innovation is an algorithm called "Red Stuff" (based on 2D erasure coding), which allows for the recovery of complete files even if many nodes in the network go offline.
2. Utility of the WAL Token
The WAL token is not just speculative; it has critical functions within the ecosystem:
Payment for storage: Users use WAL to purchase space. The system is designed to keep the cost stable in relation to fiat currencies, avoiding token volatility from making the service more expensive.
Staking and Security: Node operators must stake WAL to participate in the network. If they act maliciously or lose data, they lose their tokens (slashing).
Governance: Holders can vote on decisions regarding system parameters and protocol updates.
Rewards: Nodes receive WAL as an incentive for maintaining the integrity and availability of data.
3. Strengths (Pros)
Elite Backing: Developed by former Meta (Facebook) engineers under the Mysten Labs banner.
Data Efficiency: Thanks to "Red Stuff", Walrus only requires approximately 4.5x extra storage to ensure total security, much less than other decentralized protocols.
