This week the developers of the platform Cryptonize.it and Cashpay wallet have released a new colored coins protocol that makes it easy for anyone to create tokenized assets using the BCH protocol.
Over the past few months, the idea of Bitcoin Cash powered token assets has been at the forefront of a lot of conversations. So far over the last few weeks, we’ve seen a slew of representative token creation platforms like Bitmain’s Wormhole, and Bitprim’s Keoken.
Now, this week the developers at Cryptonize.it have launched a BCH-fueled Colored Coins multi-signature desktop wallet.
A BCH Colored Coins Wallet Released
With tokenized assets, users can issue tokens that represent nearly anything including precious metals, dollars, stocks, and coupons. For example, with the launch of the Colored Coins wallet, the Cryptonize team plans to issue a token called Cryptonized Cash (CC) and holders can use CC tokens to get discounts on exclusive products on Cryptonize.it. CC will be deployed when it’s integrated into Cashpay in the coming weeks the protocol’s lead developer tells news.Bitcoin.com.
The Colored Coins wallet created by Cryptonize.it.
A Battle-Tested Token Creation Protocol
Since the launch other members of the community have been playing around with the platform issuing tokens. One of the administrators for the Slack channel bchchat, Joel Dalais, explained he issued some tokens called ‘Bchchat Slack Tokens’ and is using the tokens for people to gain entrance into the chat room. Further, there is now a coin called ‘Lightning Network Tokens’ (LNT) thanks to some other BCH proponents. Interestingly enough the newly created LNT tokens can operate on-chain and are lightning fast.
BCH proponents create on-chain powered Lightning Network Tokens.
News.Bitcoin.com briefly chatted with Cryptonize founder and developer, Ari, who explains that even though there are a variety of other token asset platforms using bitcoin cash the Colored Coins wallet protocol is ‘battle-tested.’ Ari states the protocol is being implemented into the Cashpay wallet and his team is working with “existing SDK/service providers to include colored coins to make it super easy and lightweight.” The Cryptonize creator details that Copay based wallets already have colored coin plugins and wallet operators could easily integrate the implementation.
“We appreciate all the token efforts and are looking forward to all of them, but something this easy and effortless while battle-tested is hard to beat”, Ari explains to news.Bitcoin.com.
News.Bitcoin.com creating Posternut Power Tokens (PPT) on August 20.
Testing the Colored Coins Wallet and Creating Our Own Tokens
Furthermore, news.Bitcoin.com tested the Colored Coins wallet to see how easy it was to issue, receive, and store BCH-powered tokens. We deposited 1,832 bits ($1USD) worth of BCH into the wallet after backing up the wallet by writing down the 12-word mnemonic seed phrase. After the funds are deposited users can issue a token for an estimated fee of around 23 bits.
We created 100 of our own ‘Posternut Power Tokens (PPT)’ in less than a minute after our funds registered into the desktop wallet. When issuing a token, users can add an icon or logo for the token, the token’s name, issuer’s name, the total number of tokens created, and some custom metadata as well. Additionally, we were sent some newly created ‘Ninja Cash’ tokens issued by the Ninja Association.
Our first collection of BCH tokens includes Ninja Cash which was sent to us today for tetsing purposes.
Overall the Colored Coins wallet designed by the Cryptonize.it developers is fairly simple to use if you already know how to use any BCH wallet. Unlike Wormhole the platform has a friendly GUI and token creation takes less than a few minutes. However just like Wormhole and some of the other token creation platforms the project currently lacks compatibility with a friendly SPV client like a mobile wallet.
Further, you can create and issue a token using the wallet but can’t do a change of issuance with the minted tokens. However, the Colored Coins wallet works very well, and if it can tether Cashpay compatibility and work with other SPV clients in the future the project could very well catch on.