# Launch currencies

This is what a (simple) currency definition looks like:

./verus -chain=VRSCTEST definecurrency '{
  "name":"MyBrand", 
  "options":32, 
  "proofprotocol":2, 
  "preallocations":[{"Klaus@":100}]
}'

The above command is processed into a HEX, and that HEX is broadcasted to the network. Simultaneously the fees are taken from the rootID (and distributed among the block producers) and after waiting a minimum period of 20 blocks the currency is launched and ready to be used by the worldwide network.

# VerusID namespace

To launch a currency on Verus (and any other PBaaS-chain) a namespace is needed. That namespace is a VerusID. The namespace is the name of the currency (e.g. MyBrand@). That namespace can also have subIDs (e.g. product.MyBrand@, user.MyBrand@). The controller of this VerusID is the only one who can create a currency of that name, and they can only do so once.

On Verus a VerusID registration costs between 20 and 100 VRSC, and the launch of a currency costs 200 VRSC. These costs are always paid in the chain’s native coin (to the worldwide miners and stakers). On other PBaaS-chains these costs can differ since the chain launcher can define its own costs for VerusID registrations and currency launches.

# Defining options

To define a currency, choose options. Then combine these options to whatever the currency needs to be. Just add the numbers together in the currency definition. The currency options are listed below.

Let’s give some examples of combined options:

• "options":33 — this launches a basket currency. It is options 1 + 32 combined.
• "options":2080 — this launches a single satoshi token that has control of the root VerusID. It is options 32 + 2048 combined.
• "options":35 — this launches a basket currency, and only the rootID can create subIDs. It is options 1 + 2 + 32 combined.

# Defining parameters

Next up are the parameters. Choose the parameters wisely to launch a currency that suits any need. Not all parameters are needed or combinable. There are many to go through, so let’s start.

# "proofprotocol"

This parameter defines, among others, if the currency is centralized or decentralized. You can choose 1,2 or 3.

1 is default, which launches a decentralized currency (no need to include this parameter when defining such a currency). When subIDs are created with this option, the registration fees are burned.

2 is for a centralized currency. If it’s a basket currency the rootID can mint and burn supply while automatically lowering and raising the reserve ratio (also anyone can burn supply without lowering the reserve ratio). Or when it’s a simple token currency they can just mint and burn supply. The subID registration fees go to the rootID.

3 is for Ethereum ERC-20 mapped tokens. Read more

Example currency:

./verus -chain=VRSCTEST definecurrency '{
  "name":"MyBrand", 
  "options":32, 
  "proofprotocol":2, 
  "preallocations":[{"Klaus@":100}]
}'

☝️ A simple token currency called MyBrand, centralized (the controller of the rootID can mint and burn), and has a preallocation of 100 tokens to Klaus@.

# "currencies"

Here you put the names of the currencies (or just one — it must have VRSC when launched on Verus) that will be in the reserves when it’s a basket currency (options:33).

Or when it’s a simple token currency (options:32), what people convert during the preconversion timeframe will go to the rootID of the currency, as a funding mechanism. In the case of a simple token currency, combine it with "conversions" to determine the preconversion price.

Use up to 10 currencies for this parameter.

Example currency:

./verus -chain=VRSCTEST definecurrency '{
  "name":"CommunityX", 
  "options":33, 
  "currencies":["vrsctest","MyBrand","InfluencerCoin"], 
  "minpreconversion":[10,50,10],
  "initialsupply":100
}'

☝️ A basket currency called CommunityX. It needs to get a minimum of 10 VRSCTEST, 50 MyBrand and 10 InfluencerCoin into its reserves within the preconversion time frame to be launched. The initial supply of 100 CommunityX will be distributed among the preconverters.

# "conversions"

Use this parameter when launching a simple token currency. Together with "currencies", it can be used as a funding mechanism for the rootID. This parameter is for the preconversion price. So when doing "conversions":[0.1], it means that for every VRSC the preconverter receives 10 CURRENCY after launch. The converted VRSC goes into the rootID.

People can preconvert to this currency within the preconversion time frame. Define a "startblock", or let the default and minimum time frame play out, which is 20 blocks.

Example currency:

./verus -chain=VRSCTEST definecurrency '{
  "name":"CoolBrand",
  "options":32,
  "currencies":["vrsctest"],
  "conversions":[0.1],
  "minpreconversion":[1000]
}'

☝️ This simple token currency is called CoolBrand. During the preconversion time frame people need to convert 1000 VRSCTEST to the rootID. In exchange for that they receive 10.000 CoolBrand. If this minimum amount is not met, the currency will not launch, and everyone who did a preconvert will get their funds back.

# "minpreconversion"

Use this parameter to set a minimum amount of preconversions. The minimum amount of preconversions needs to be met or the currency will not launch and everyone gets their conversions returned, minus the transaction and conversion fees. It works both with basket currencies and simple token currencies.

There is a 0.025% fee taken when preconverting. Take this into consideration when trying to meet the minimum amount of preconversions.

Example currency:

./verus -chain=VRSCTEST definecurrency '{
  "name":"CompanyX",
  "options":32,
  "currencies":["vrsctest"],
  "conversions":[2],
  "minpreconversion":[500]
}'

☝️ This simple token currency is called CompanyX. During the preconversion time frame people need to convert at least 500 VRSCTEST to the rootID. In exchange for that they receive 250 CompanyX, or more when more is converted. If this minimum amount is not met, the currency will not launch, and everyone who did a preconvert will get their funds back.

# "maxpreconversion"

Use this parameter to set a maximum amount of preconversions. During the preconversion time frame the amount set can not be exceeded. Everything above this amount will be automatically refunded after the currency is launched.

Example currency:

./verus -chain=VRSCTEST definecurrency '{
  "name":"CoinCommunity", 
  "options":33, 
  "currencies":["vrsctest"], 
  "maxpreconversion":[100], 
  "initialsupply":100
}'

☝️ This is a basket currency called CoinCommunity. During the preconversion time frame people can convert VRSCTEST into its reserves for 100 CoinCommunity in return. During the preconversion time frame there can not be more than 100 VRSCTEST converted into its reserves. Whatever is preconverted more will be returned.

# "initialcontributions"

The rootID can contribute some or all of the minimum preconversions directly as part of the currency definition. Use this parameter to make an initial contribution to either the reserves when it’s a basket currency (options:33), or to the rootID when it’s a simple token currency (options:32).

The funds to initially contribute need to be in the rootID when defining the currency. After the preconversion time frame is over and the currency launched, the rootID has received an amount of the launched currency.

Example currency:

./verus -chain=VRSCTEST definecurrency '{
  "name":"CommunityBasket", 
  "options":33, 
  "currencies":["vrsctest","CoinCommunity"], 
  "initialcontributions":[10,200], 
  "initialsupply":100, 
  "preallocations":[{"Jane@":100},{"John@":50}]
}'

☝️ This is a basket currency called CommunityBasket. The launcher of the currency wanted to make initial contributions to its reserves. At the moment of broadcasting the currency to the network, there needed to be 210 VRSCTEST and 200 CoinCommunity in the rootID. The initial supply of 100 went to the rootID (if there weren’t any more preconverters). At the same time of the launch, 100 CoinCommunity was minted into Jane@ and 50 into John@, this lowered the reserve ratio of the currency.

# "initialsupply"

A required parameter for basket currencies (options:33). This parameter does not work with simple token currencies. This is the initial supply during the preconversion time frame, before the currency is launched. People preconverting into the reserves receive from this initial supply.

⚠️ IMPORTANT: "initialcontributions" and/or preconversions are required, otherwise the initial supply can not go anywhere and the currency is bricked.

Immediately after the currency is launched, the supply can be larger due to "preallocations".

Example currency:

./verus -chain=VRSCTEST definecurrency '{
  "name":"SocialBrand", 
  "options":33, "currencies":["vrsctest"], 
  "initialsupply":500, 
  "preallocations":[{"Max@":1000}]
}'

☝️ This is a basket currency called SocialBrand. People can preconvert VRSCTEST into its reserves and in return they get 500 SocialBrand distributed among them. Immediately after launch Max@ receives 1000 SocialBrand, lowering the reserve ratio of the currency.

# "preallocations"

Use this parameter to receive a chosen amount of funds after the preconversion time frame has passed and the currency is launched. Funds can be directed to VerusIDs and R-addresses. Works with simple token currencies and basket currencies.

When using this parameter with basket currencies, after the preconversion time frame has passed and the currency is launched, the reserve ratio is lowered. This is because new currency has been minted after the initial supply ("initialsupply") is distributed, and nothing was new added into the reserves.

# "prelaunchcarveout"

Only works with basket currencies (options:33). Use this to redirect a percentage of preconverted reserves to the rootID. After the preconversion time frame has passed and the currency is launched, a percentage of the reserves is taken and redirected to the rootID. This lowers the reserve ratio, making the currency more volatile.

Example currency:

./verus -chain=VRSCTEST definecurrency '{
  "name":"BusinessBrand", 
  "options":33, 
  "currencies":["vrsctest"], 
  "initialsupply":100, 
  "prelaunchcarveout":0.1
}'

☝️ This is a basket currency called BusinessBrand. People can preconvert VRSCTEST into its reserves in return for 100 BusinessBrand distributed among them. When the currency is launched, 10% VRSCTEST is taken out of the reserves, into the rootID. This lowers the reserve ratio by 10%.

# "prelaunchdiscount"

Only works with basket currencies (options:33). Use this to give people a discount during the preconversion time frame. After the preconversion time frame and the currency is launched, the conversion price will be higher, depending on what percentage the discount was.

When using this parameter, after the currency is launched, the reserve ratio will be lowered by the discounted percentage.

Example currency:

./verus -chain=VRSCTEST definecurrency '{
  "name":"DiscountBrand", 
  "options":33, 
  "currencies":["vrsctest"], 
  "initialsupply":100, 
  "prelaunchdiscount":0.5
}'

☝️ This is a basket currency called DiscountBrand. People can preconvert VRSCTEST into its reserves in return for 100 DiscountBrand distributed among them. Immediately after the launch of the currency, when people want to convert, the price is 50% higher. Also, the reserve ratio is 50% lower because of the prelaunchdiscount.

# "weights"

Only works with basket currencies (options:33). Use this to change the respective weights of the reserves in a basket currency. The total of all weights must equal 1. With a minimum of 0.1, since there can’t be more than 10 reserve currencies in a basket currency.

Example currency:

./verus -chain=VRSCTEST definecurrency '{
  "name":"MyBusiness", 
  "options":33, 
  "currencies":["vrsctest","BusinessBrand","DiscountBrand"], 
  "initialsupply":100, 
  "weights":[0.5,0.25,0.25]
}'

☝️ This is a basket currency called MyBusiness. During the preconversion time frame there are various currencies that can be converted into its reserves. They have different weights to them. 0.5 for VRSCTEST, 0.25 for both BusinessBrand and DiscountBrand.

# "startblock"

Use this parameter to define the block height when the currency should be launched. There is a preconversion time frame before the currency is launched. When omitting this parameter it uses a 20 block preconversion time frame before the currency is launched.

The preconversion time frame is always 20 blocks, this can not be less.

⚠️ IMPORTANT: Fill in the absolute block height you want the currency to launch on.

# "endblock"

Endblock can not be defined on basket currencies. It does nothing. It could be set as a signal to software that might use the basket currency.

It can be set on centralized (proofprotcol:2) simple token currencies. When the endblock is reached, it turns the centralized currency into a decentralized one (no more minting and burning capabilities.)

# "idregistrationfees"

Use this parameter to change the costs of registering subIDs under the rootID. The default registration fee is 100. When it’s a decentralized currency the fees are burned (and the basket currency becomes worth more because there is less supply, yet the reserves stay the same), when it’s centralized the fees go to the rootID.

Example currency:

./verus -chain=VRSCTEST definecurrency '{
  "name":"InternetCommunity", 
  "options":41, 
  "currencies":["vrsctest"],
  "initialcontributions":[25],
  "initialsupply":5000, 
  "idregistrationfees":1
}'

☝️ The is a basket currency called InternetCommunity with subID referrals enabled. The launcher of the currency wanted to make initial contributions to its reserves. There needs to be 225.0002 VRSCTEST in the rootID at the moment of broadcasting the currency to the network (currency launch fee + initial contributions + txfees). The initial supply of 5000 went to the rootID (if there weren’t any more preconverters). The base fee to register a subID is 1 InternetCommunity.

# "idreferrallevels"

Use this parameter to change the levels of referrals used when registering subIDs. The image above shows the division and distribution of subID registration fees, depending on the chosen level. Minimum is 0 levels, maximum is 5. The default is 3 levels.

To enable referrals, add "options":8 to the currency definition.

Example currency:

./verus -chain=VRSCTEST definecurrency '{
  "name":"PremiumAccess", 
  "options":40, 
  "proofprotocol":2, 
  "preallocations":[{"Klaus@":2000}],
  "idregistrationfees":300,
  "idreferrallevels":1
}'

☝️ This is a centralized simple token currency called PremiumAccess. The owner of the rootID can mint and burn tokens at will. It has referrals enabled. When the currency is launched 2000 PremiumAccess go to the Klaus@ VerusID. It costs a 300 PremiumAccess fee to register a subID. These fees go to the rootID because it is a centralized token currency. When someone registers a subID using a referral they pay 200 of which 100 goes to the referred subID, and 100 to the rootID.

# "nativecurrencyid"

Use this parameter for mapped ERC-20 tokens. The parameter includes the Ethereum contract address for the ERC-20. Read more

# How to launch

Now you know how to create a currency definition with all its options and parameters. Next up: how to actually use the definition to launch a currency.

Here we use the command-line interface. If you want to use the built-in terminal from Verus Desktop, just replace ./verus -chain=VRSCTEST with run.

Let's use this example definition to launch the currency:

./verus -chain=VRSCTEST definecurrency '{
  "name":"MyBrand",
  "options":32, 
  "proofprotocol":2, 
  "preallocations":[{"Influencer@":100}]
}'

Entering the above command into the command-line interface wallet gives a HEX value as output. Take that HEX and do the following command below. ⚠️ IMPORTANT: make sure there are enough funds in the rootID for the currency fee (200.0002 VRSC) and the initial contribution (when in parameters).

./verus -chain=VRSCTEST sendrawtransaction "HEX"

After doing the command above the currency has started, the funds from the rootID are taken, and it takes a minimum of 20 blocks (or startblock) to actually launch it (and if all preconversion goals are met).

During the preconversion time frame and after the launch you can lookup all kinds of information on the currency with the following command:

./verus -chain=VRSCTEST getcurrency "MyBrand"