On the evening of October 26, Kava ushered in the 11th hard fork upgrade of the main network at block height 2098400. As one of the earliest projects in the Cosmos ecosystem, Kava built its own blockchain based on the Cosmos SDK very early on; since then, Kava has deployed stable coins (Kava Mint), loans (Kava Lend) on top of the chain in sequence. ), trading (Kava Swap) and a set of DeFi combination protocols; at the end of May this year, Kava launched the first blockchain in the encryption world that supports both EVM and Cosmos SDK.
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Q1
Odaily: Kava is actually our old friend, but in order to facilitate some new audiences to understand the basic situation, please give a brief introduction to Kava first?
Ticky: Kava has a lot of new changes this year, so let me start with the basics. Kava is a public chain based on the Cosmos SDK. In the first two years of its establishment, we successively launched a set of DeFi combination protocols such as stable currency (Kava Mint), lending (Kava Lend), and trading (Kava Swap) on the chain. In the first half of this year, based on Kava's existing mature infrastructure, we began to develop in the direction of the DeFi public chain.
Since Kava launched the Kava Network based on the "Ethereum and Cosmos common chain" architecture in May this year, Kava has officially completed the transformation from DeFi Hub to Layer-1 public chain. The brand new Kava is an open, scalable and optimized Layer-1 blockchain with a unique co-chain architecture.
The "co-chain" architecture proposed by Kava is to make Ethereum and Cosmos compatible in the single network environment of Kava Network at the same time, and integrate their respective characteristics through specific functional modules. In this way, developers of the Kava Network ecosystem will have more choices. They can not only enjoy the speed and interoperability of the Cosmos SDK, but also experience the flexibility and developer support features brought by the EVM. The two co-chains of Kava Network each assume corresponding responsibilities and jointly provide services for developers and users, so as to meet the needs of different groups within an ecosystem and minimize the barriers between each corresponding sector.
The two chains coexist in one network, regardless of the Cosmos common chain or the EVM common chain, their prosperity is part of the Kava network, and there is a great possibility to convert users of one common chain into users of another common chain, Cosmos The combination of co-chain and EVM co-chain is "1+1>2" of synergistic effect, and the cooperation is win-win.
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Q2
Odaily: The Kava 11 mainnet upgrade will be officially launched today. What new content will the new mainnet bring?
Ticky: After Kava’s latest mainnet Kava 11 is officially launched, the new product module Kava Liquid, namely bKAVA staking derivatives, and the Kava Boost module will be launched one after another.
Kava Liquid is committed to unlocking the value of Stake KAVA for all DeFi protocols that are rapidly joining the Kava Network. It can completely convert 100% of the pledged KAVA to bKAVA while retaining the decentralization of voting rights. This is the first initiative of Kava Network, which is consistent with our goal of growing the DeFi protocol on Kava, and it is also a big step for the DeFi protocol to truly decentralize.
In addition to the new liquidity staking protocol Kava Liquid, after the mainnet upgrade, users can also directly interact with the Kava App through MetaMask and sign Cosmos SDK transactions. This new feature greatly simplifies the previous process and will bring users better experience.
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Q3
Odaily: What is the difference between liquid staking and regular staking? What are the benefits of participating in liquidity staking for ordinary KAVA holders?
Ticky: Unlike other conventional forms of liquid staking that can only support conversion of a small portion of liquid staking assets, Kava Liquid can handle 100% conversion of pledged KAVA to liquid bKAVA.
Kava Liquid is a catalyst for the growth of the Kava protocol. In order to achieve better scaling, Kava will propose to transfer a portion of PoS rewards to liquidity rewards. This is consistent with our goal of adding DeFi protocols on Kava. In the future, bKAVA is bound to become a huge contributor to the growth of Kava ecological protocols.
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Q4
Odaily: Previously on Ethereum, we have seen the liquidity pledge token stETH de-anchored significantly. For Kava, how can such incidents be avoided? How to ensure that the price relationship between bKAVA and KAVA generated by liquidity staking is always stable?
Ticky: For KAVA-bKAVA, their anchoring is like the anchoring of the stablecoin USDX within the Kava ecosystem, both of which are important goals of Kava community governance. Like DAI, USDX is backed by real collateral value, and bKAVA is also backed by staking KAVA.
Kava Liquid has designed a rigorous mechanism for this 100% converted pledged derivative, and based on the Kava chain stability committee for security. Every other liquid staking provider like Lido retains the voting power of the users, so if 100% of staked ETH is through Lido, then all voting power will be controlled by Lido. In contrast, Kava allows users to choose validators and retain your voting rights while staking with Liquid, so even if users stake 100% of KAVA through Liquid, Kava Network will still remain sufficiently decentralized.
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Q5
Odaily: With the launch of Kava 11, what is the current Kava product matrix? Can you give me a brief introduction?
Ticky: Kava Mint, Kava Lend, and Kava Swap, the mainstream projects in the Kava ecosystem, have been providing users with the opportunity to use mainstream cryptocurrencies such as BTC, BNB, and XRP to obtain DeFi rewards. These three protocols allow users to complete the one-stop process of minting, lending, trading, and earning income through the liquidity pool in Kava. It can be said that it perfectly combines the user's upstream transaction needs and downstream DeFi needs.
Kava recently launched the Kava Earn strategy. The first Kava Earn strategy recommends users to use Mint and Lend through BUSD to maximize returns. The risk of providing stablecoin assets to Mint is very small. And for users supplying USDX to Lend, there is virtually no risk. After Kava 11 is launched, new Kava Earn and Boost modules will be launched, which will bring more high-yield trading strategies to users.
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Q6
Odaily: It has been three years since Kava was born, and the newly released CosmosEVM co-chain has also been online and running for several months. What is the current ecological status of Kava? What are some representative projects? How much is the total lock value on the chain?
A6: Kava’s third anniversary is about to usher in the 11th major version upgrade of the mainnet. Kava can be said to have developed for a long time. In the past three years, Kava has safely managed billions of dollars in assets on the chain without being affected by hackers or vulnerabilities.
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Q7
Odaily: Kava previously launched Kava Rise, a developer incentive program with a total value of 750 million US dollars. How is the implementation of this plan? Is the current progress in line with expectations?
A7: Since its launch, we have been promoting the ecological prosperity of the Kava Network. Therefore, Kava launched the $750 million Kava Rise plan under the principles of fairness and transparency, and the results have been very successful. In conjunction with this plan, we also encourage developers to use KAVA as a reward to distribute to users who use the protocol on the Kava platform, which can not only increase the TVL corresponding to the product, get more KAVA rewards in the next cycle, but also further improve the protocol. viscosity.
Beyond that, we are creating tools to help the protocol grow in a healthy competitive environment. As long as developers contribute value, they will be rewarded accordingly. To this end we are building a team that will work on formalizing the process of growing the protocol with Kava. This will be a scalable solution, no other Layer1 is currently doing this.
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Q8
Odaily: If you want to let a new user experience Kava, what advice do you have? What wallets can I use? How can I transfer funds into Kava? What apps can I try?
A8: Currently, the wallets supported by the Kava App include Trust Wallet, Keplr, MetaMask, and Ledger. Users can use these wallets to participate in the Kava ecosystem. In terms of the Kava Cosmos co-chain, users familiar with DeFi can participate in the Kava ecosystem through a set of DeFi combination protocols such as the cross-chain lending platform Kava Mint, the cross-chain currency market Kava Lend, and the cross-chain liquidity center Kava Swap. New users who lack DeFi experience can use the easy-to-use Kava Earn function, allowing users to directly use BUSD's Kava Earn trading strategy on one page to earn an annualized rate of return of up to 25%.
In terms of the Kava EVM co-chain, in June, Multichain and Celer Network have successfully implemented bridging support for Kava Network, bringing a new source of liquidity to the Kava ecosystem. Users can participate in the Sushi and Curve incentive activities on the Kava EVM common chain.
At present, the income of the WKAVA and USDC liquidity pools on Sushi is about 50%, and the LP income of the 3 pool stable currency pool on Curve is about 12%, and the TVL is constantly rising. Users can follow Kava Chinese Twitterhttps://twitter.com/KavaChineseOr join the Kava Chinese telegram grouphttps://t.me/KavaChinesesecondary title
Q9
Odaily: Can you preview what Kava will do next after this upgrade?
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Q10
Odaily: Last question, although the market as a whole is relatively sluggish, we have seen many new projects emerge recently, especially in the public chain track, traffic players such as Aptos and Sui will usher in the main network in the near future. In your opinion, has the competition on the public chain track become more intense? If so, how will Kava respond?
A10: The public chain track has been very popular since its appearance, because large-scale trust issues have always been one of the pain points of Web 3. We have recognized since last year that the multi-chain era has arrived and will continue to develop. Aptos and Sui have attracted market attention because of their backgrounds from the Facebook team. I believe this situation will become more common in the future. But it is obvious that no single public chain can meet all the needs, and the pattern of coexistence of multiple chains will exist for a long time.
The continuous emergence of emerging public chains has brought about explosive growth in cross-chain demand, which has also given Kava, a public chain that started as a cross-chain, a breakthrough. The new public chain ecology is developing rapidly, and there is an urgent need to solve the initial funding source and efficiency issues across chains. Especially in the bear market stage, Kava's CosmosEVM common chain will continue to expand with market demand to solve the problem of resource interoperability.
