Ok, it isn't exactly boiling. It is more like 220 degrees. That is just barely melted really. It isn't hot enough to damage the nylon.
I don't use tape and so avoid that problem.
The wax adds a layer of protection to the whip. It makes it water proof and protects against fraying and abrasion.
I personally love how the wax makes the whip feel. Instead of a dead plastic feel, the whips seems more alive and closer to the feel you get with leather. (Not exactly but closer) It also seems to allow the whips to break in to the way you move better than with out wax.
I love the wax and am always excited on the days that I get to dip a big batch of whips.