WalletConnect

The WalletConnect Token (WCT) is the native token of the WalletConnect Network and serves four main purposes:

1. Staking: Node operators and other participants must stake WCT to engage in network operations. Stakeweight - determined by both amount and lock duration - affects node rewards and governance influence.
2. Governance: WCT holders can vote on proposals that affect network development, such as enabling fee mechanisms or adjusting reward structures. Community governance is phased, starting with Foundation-led oversight and transitioning to WCT holder control.
3. Rewards: A portion of the WCT supply (17.5%) is allocated for incentivising participants. This includes staking rewards, node operation incentives based on uptime and latency, and wallet provider performance rewards.
4. Fees: While the network currently does not charge fees for usage, a governance-approved fee model may be introduced. When active, applications and SDKs - not end users - would pay fees using WCT.

Initially, WCT is non-transferable to maintain network stability, ensure tokens are used within the system, and avoid speculative trading. Token holders can still participate in staking and governance. Transferability may be enabled later through a governance vote.

WalletConnect was created in 2018 by Pedro Gomes, a software engineer who aimed to solve the challenge of connecting mobile wallets with desktop-based decentralised applications. The initial version introduced the widely adopted QR code-based connection mechanism.

Since its inception, the project has evolved through contributions from a broader community and institutional support. The original WalletConnect organisation has rebranded as Reown, which continues to build products like AppKit and WalletKit, built on top of the WalletConnect Network.

To support its decentralisation goals, the WalletConnect Foundation was established. The Foundation is responsible for the governance transition, ecosystem development and maintaining the network's resilience and neutrality. It coordinates initiatives such as token distribution, grants and infrastructure expansion.

The transition from a single-entity-led protocol to a decentralised network is guided by a phased roadmap. Governance responsibilities are gradually shifting from Reown and the Foundation to the WCT tokenholder community, ensuring long-term sustainability and open development of the infrastructure.