Cryptocurrency Kava (KAVA): project overview, characteristics, course, forecast and prospects, how to buy on IEO
Kava is a DeFi (decentralized finances) platform where users can take out secured loans in BTC, XRP, BNB, ATOM and other cryptocurrencies. The platform is already supported by 100 institutions around the world, including many crypto projects such as Ripple and Cosmos.
Tokens will be on sale on Binance Launchpad from October 23, 2019. On October 25, KAVA will be listed on the Binance exchange.
|Name||Price||Market Cap||Supply||Change % (7D)||Performance|
The platform has two types of tokens:
✅ KAVA is a staking and management token. Serves to keep the network secure and gives owners the ability to vote on protocol changes.
✅ USDX is a stablecoin backed by cryptocurrency collateral.
The project team took part in the development of blockchain solutions for projects such as Ripple, Tezos Tendermint / Cosmos, MakerDao, etc.
Key functions and features:
✅ The ability to open debt positions against cryptocurrency assets from other blockchains, for example, BTC, BNB, XRP, ATOM.
✅ Algorithmically supported stablecoin. Kava uses an oracle system to determine prices and keep the USDX price pegged to the US dollar.
✅ The possibility of lending directly between users, without counterparties. Participants can independently produce new USDX based on the deposited collateral, and after the debt is closed, destroy them.
✅ Management based on economic incentives. Stakers receive income from commissions from user transactions and from the creation of new blocks. They act as lender of last resort in case the network is not properly maintained.
|Total emission||100 000 000 KAVA|
|Target collection amount||3 000 000 USD|
|How many tokens will be sold on IEO||6 521 739 KAVA|
|Sales format||lottery, airdrop|
|Purchase cost||$ 0.46 per token|
Course and schedule
IEO KAVA on Binance Launchpad
Details of the KAVA token from Binance Launchpad:
IEO Dates on Binance Launchpad:
General conditions for the distribution of KAVA tokens (in 3 stages):
Testnet https://kava-testnet-2000.mintscan.io/ and KAVA Explorer:
General information about DeFi
DeFi (Decentralized Finance) is a kind of community of blockchain projects, the goal of which is to create convenient and secure ways to manage finances. The three main principles of DeFi:
✅ Transparency of information on the market. Information about transactions should be available to everyone, while personal information is reliably classified.
✅ Availability and convenience. In order to use decentralized sites, you only need an Internet connection.
✅ Open source and full interoperability. If all projects are compatible with each other, then the ecosystem can interact more effectively.
At the moment, there are already a lot of projects in the DeFi ecosystem, both small and large. Kava has already partnered with some of them.
To become a member of the ecosystem, a project must meet several requirements. First, adhere to common standards and ensure compatibility with partners. Secondly, be focused on working in the fintech industry. And thirdly, work on the blockchain.
How the Kava Platform Works
The procedure will be as follows:
- Through a dedicated web portal, the user connects a wallet (Trezor, Ledger, etc.) and sends BTC to the Kava platform.
- An individually designed CDP system is created. The cryptocurrency is blocked in the CDP as collateral.
- A stablecoin is being created. The user withdraws the collateral in stablecoins from the system based on the value of the CDP.
- CDP is closing. The user can pay the debt plus the commission in order to unblock his collateral at any time.
- The CDP auction begins. The principle is similar to a margin call: the system automatically liquidates collateral if the debt to collateral ratio reaches a predetermined value.
- The cryptocurrency is back. As soon as the debt is paid off, the system burns stablecoins, the collateral is returned to the user.
Using the KAVA token
KAVA owners have a say in changing the blockchain or system parameters, including the total amount of USDX that can be issued, the types of collateral accepted, the debt-to-collateral ratio, and the amount of commissions.
Also KAVA is a digital asset for network security. Participants can delegate their voting rights to validators (dedicated network nodes responsible for confirming transactions) through the exchange service, earn commissions on transactions and commissions on loans paid by users after the CDP closes. The validator’s voting power is proportional to how many tokens he holds in the account.
Advantages and disadvantages
✅ Guarantee. Securing the assets of interest using the CDP system.
✅ Lever system for more comfortable holding of long positions.
✅ Stablecoin support as protection against excessive volatility of the crypto market.
✅ Testnet is running, to which anyone can connect right now.
✅ Professional team and strong investors.
✅ IEOs on Binance are usually much more successful than on other similar platforms.
❌ There is little information about the protocol on the website and in the White Paper.
❌ The roadmap ends in 2020.
❌ The service will be in demand among people interested in cryptocurrencies, but there is still a long way to go before the mass adoption of this method of lending.
Decentralization of finance is one of the trends in the world of cryptocurrencies, because it is a way to make banking services more free and accessible. For this reason, Kava, like other similar projects, has a chance to succeed. A crowdsale on Binance Launchpad should play a certain role in this, which deliberately hosts promising projects that subsequently show strong price increases.