The Elf Flawless Satin Foundation is indeed a water-based foundation. It is designed to provide a smooth and flawless finish while being gentle on the skin. The water-based formula helps to maintain the natural moisture of the skin, preventing it from feeling dry or cakey. Additionally, the foundation contains a blend of nourishing ingredients that help to improve the skin's health and radiance over time. It's an excellent choice for those with sensitive skin or those who prefer a lighter-weight foundation that provides a natural-looking finish.