Evernode is a Layer 2 solution developed on the Xahau Network, designed to bring scalable smart contracts to the XRP Ledger. Leveraging Evernode’s HotPocket consensus protocol in conjunction with XRPL’s “Hooks” amendment, Evernode looks to facilitate efficient dApp hosting, and enhance utility within the XRPL ecosystem.

Evernode consists of 4 key components: Consensus Protocol, Native Currency, Evernode Hook, and DEX.

Consensus Protocol: HotPocket is a UNL-based consensus protocol that allows networks of machines to act as a mini-blockchain, achieving consensus on transaction inputs and outputs to maintain a shared state.

Native Currency: Evers (EVR) are used to reward nodes for network participation, by hosts to pay for network registration, and by tenants (dApps) for hosting payments. All services will be priced and paid in EVRs.

Evernode Hook: An XRPL Hook manages the distribution of Evers, confirming nodes' participation and their acceptance to host dApps for Evers.

DEX Utilization: The XRPL’s native DEX is used for the exchange of hosting services for Evers, streamlining transactions.

EVR Token Distribution:

EVR has a total supply of 72,2453,440, issued from a to-be-blackholed Xahau Network Address. 20,643,840 tokens were airdropped to create the initial supply, with a total of 5,160,960 notably airdropped to XRP holders based on the September 1, 2023 snapshot. The remaining 51,609,600 EVR are held within the Evernode Registry Hook, set to be distributed programmatically to Hosts as rewards, in 10 Epochs of 5,160,960 EVRs over 118 years.

Evernode was founded by Scott Chamberlain, a former US attorney and professor of law at ANU College of Law.

Risks of EVR

Like an investment in other crypto assets, there are some general risks to investing in EVR. These include:  (i) volatility risk and liquidity risk, (ii) short history risk, (iii) demand risk, (iv) forking risk, (v) code defects, (vi) regulatory risk, (vii) electronic trading risk, and (viii) cyber security risk. For additional information of these and other general risks associated with crypto assets and Uphold’s platform, please refer to the Risks Specific to Holding Digital Assets statement.

In addition to these general risks, an investment in EVR is subject to the following specific risks:

As a layer-2 solution, any potential success associated with EVR is reliant on the continued security, decentralization, as well as adoption of the XRP Ledger. 

We emphasize that this Crypto Asset Statement is not an exhaustive description or summary of all risks associated with EVR . Investors should conduct their own research and perform their own assessment before trading any crypto asset to determine the appropriate level of risk for their personal circumstances.

The EVR community and Evernode core team are not under any legal or regulatory obligation to disclose material information to the public regarding its activities. Holders of EVR have no recourse to the EVR community, Evernode core team, or Uphold if EVR declines in value for any reason.

Changes to applicable law may adversely affect the use, transfer, exchange, or value of any of your crypto assets, and such changes may be sudden and without notice.

Uphold’s Evaluation Process

Prior to listing EVR on the Uphold Platform, Uphold performed due diligence on EVR and determined that EVR is unlikely to be a security or derivative under relevant securities legislation. Uphold’s analysis including reviewing publicly available information on the following: 

The creation, governance, usage, and design of EVR, including ensuring the source code being open-source, audited and peer reviewed, security, and roadmap for growth in the developer community. 

The supply, demand, maturity, utility, and liquidity of EVR.

Marketing materials put forward by the EVR social team including, Twitter, Medium blog, LinkedIn posts, Discord and Telegram channels.

Material technical risks associated with EVR, including any code defects, security breaches and other threats concerning EVR and its supporting blockchain (such as the susceptibility to hacking and impact of forking), or the practices and protocols that apply to them.

Legal and regulatory risks associated with EVR, including any pending, potential, or prior civil, regulatory, criminal, or enforcement action relating to the issuance, distribution, or use of EVR.