Tag: KAVA

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Cryptocurrencies

Harvest.io: The World’s First Cross-Chain Money Market

As cryptocurrency use gains more popularity, so do the innovations around this space. Crypto enthusiasts are set to enjoy increased convenience and ease of use after Kava unveiled Harvest.io. This cross-chain money market has a global reach, which makes it quite convenient for investors. 

As cryptocurrency use gains more popularity, so do the innovations around this space. Crypto enthusiasts are set to enjoy increased convenience and ease of use after Kava unveiled Harvest.io. This cross-chain money market has a global reach, which makes it quite convenient for investors. 

As cryptocurrency use gains more popularity, so do the innovations around this space. Crypto enthusiasts are set to enjoy increased convenience and ease of use after Kava unveiled Harvest.io. This cross-chain money market has a global reach, which makes it quite convenient for investors. 

Harvest.io is a fintech application built on top of Kava’s infrastructure, enabling users to borrow or lend cryptocurrencies across blockchains. It’s the first of its kind and is a premium feature of Kava 4 Gateway. 

It supports cross-chain transactions of BTC, BUSD, XRP, and Kava tokens. 

In this article, we shall explore the technologies behind Harvest.io, its history coming up, and some Harvest.io alternatives. It is worth noting that Harvest.io already rebranded to HARD, and its benefits accrue as fintech gains more users. 

Harvest.io Consolidating Markets for the First Time 

DeFi markets are fragmented, and crypto blockchains lacked interoperability until late 2020. Harvest.io came into the markets to resolve this problem.

The launch of Kava 4 Gateway in Oct 2020 ushered in a paradigm shift in the ease of use for crypto enthusiasts. It expanded Kava technologies into interoperability with BTC, XRP, and BUSD infrastructure. 

It also empowered users to expand assets without having to upgrade networks. 

Harvest.io was Kava 4 Gateway’s highlight, and it expanded the gains of DEXs. It’s making user-success more prevalent, and the masses are warming up to the ease of buying, selling, lending, and borrowing. 

It’s even sweeter considering that no third-party gets involved in any of the transactions, and the financial records are secure and irreversible. 

How Kava 4 Supports Cross-Chain Transactions

It’s simple how Harvest.io offers cross-chain interoperability, but the technology is proprietary. It builds cross-chain bridges and supports them with Chainlink Oracles. 

This fintech utilizes Kava’s:

  • Blockchain security. 
  • Price feed module.
  • Cross-chain functionality. 

The Harvest.io infrastructure is fast enough to attract new users. Unlike Bitcoin’s blockchain, the Kava networks build consensus through democratic validators. 

Harvest.io validators also vote on internal governance changes and implement system updates.

With Proof of Work, miners have to solve complex math problems, which makes them slower than Kava validators in authenticating and completing transactions. 

Interoperability: It’s Now A Crypto Reality

Interoperability refers to the ability of different computers, software, networks, and computing servers to exchange and apply data. 

Just five months after Kava launched Harvest.io, Kava accounts more than doubled, investors locked more than $25.65 million in value, and users borrowed $10.8 worth of USDX. Kava’s liquidity is rising exponentially. 

What Harvest.io Means for Investors

For starters, the fact it transitioned to HARD should motivate business minds that need to adapt and adopt investments in digital currencies. HARD makes it possible to trade and loan Stablecoins, KAVA tokens, BTC, XRP, ATOM, and BNB without involving third-parties.

HARD is the fintech that investors need to exploit the potential of cryptocurrencies. It empowers users to trade in a decentralized, convenient manner, and its interoperability makes it easier to access the most in-demand digital currencies. 

Blockchain Fintech Interoperability and Institutionalization

Crypto asset institutionalization will propel cryptocurrencies into the next step of global acceptance. However, institutionalization is still a long shot until certain factors are addressed. 

One of the biggest hurdles facing crypto-asset institutionalization is the lack of supporting services such as brokerages, exchanges, and asset management. 

Harvest.io takes care of the need for brokerages and third-party exchanges. Moreover, smart contracts are excellent upgrades for third-party asset management services. 

Institutionalization Takes More than Just Cross-Chain Money Markets

According to Binance CEO, Mr. Zhao, institutionalization and widespread use of Kava technologies need numerous synergies. He appreciates the milestone of developing cross-chain money markets. 

However, he asserts that the ecosystem needs other critical elements to be conducive for mass acceptance. For instance, he is wary about the ease of use in digital currency transactions. The major source of resistance springs from slow processing and the prevailing ignorance. 

In Nov 2020, Kava confirmed that HARD Protocol, previously Harvest.io, would be hosted on Binance’s Launchpool. The platform is designed to roll out DeFi to end-users. 

HARD allows users to stake BNB, KAVA tokens, and BUSD on separate slates. Kava Labs had to rename Harvest.io to HARD after Harvest.finance launched. It was the best way to resolve the hard trademark conflict of interest. 

Other Blockchains Featuring Cross-Chain Interoperability

Equilibrium is a digital money market that powers cross-chain currency exchanges. It also allows users to use, earn, lend, borrow, stake, and fundraise crypto assets across various popular blockchains. 

This cross-chain money market platform is integrated on the Polkadot network. Its designers focused on enhancing scalability and reducing high transaction costs.

Why Is HARD Better?

HARD tokens empower users to determine how things go. Users build consensus in the management of key parameters and protocols i.e.: 

  1. Platform fees. 
  2. How assets are offered. 
  3. Reward systems.

Earlier blockchain users have lots of say and establish grassroots culture. Consensuses are irreversible, and HARD tokens are most lucrative now that they are still novel crypto assets. 

Remember, cross-chain money markets are picking up traction. Folks are finding it easier to use blockchain fintech because of innovations such as Harvest.io, which is built on Kava 4 Gateway. 

Parting Shot

Harvest.io is a lucrative fintech for digital entrepreneurs. HARD technologies deliver reliability to users on a global scale, transcending above regulatory scrutiny. This DeFi fintech empowers users to determine the direction of the blockchain in a purely democratic fashion. 

Users can exchange and make use of information with other blockchain networks. It gives DeFi users access to borrowing and lending options for different cryptocurrencies, creating cross-chain money markets. Moreover, the tech is fast and secure. 

Take advantage of these innovations while they are new, and gain some control by making decisions while the platform is new. Check out HARD, and feel free to share your experience with cross-chain money markets in the comments section. 

Categories
Crypto Daily Topic Cryptocurrencies

Top 5 DeFi Projects to Look Out for in 2021

The DeFi industry is still in its infancy stage but has already registered some impressive growth over the years. The industry’s total value is currently locked at $14.92 billion and is expected to grow in the coming year. 

The DeFi industry is still in its infancy stage but has already registered some impressive growth over the years. The industry’s total value is currently locked at $14.92 billion and is expected to grow in the coming year. 

The DeFi industry is still in its infancy stage but has already registered some impressive growth over the years. The industry’s total value is currently locked at $14.92 billion and is expected to grow in the coming year. 

There’s no doubt that DeFi brings about some unique solutions that are quite lucrative for investors of all kinds. If you’ve had your eye on the crypto industry for a while, there are chances that you’ve thought of putting your money in this exciting venture. But if you don’t know how to get started, you may feel stuck when choosing the best projects.

If you’re in this position, this article is just what you need. Buckle up, and let’s dive into the five best DeFi projects you should consider investing in the coming year. 

Uniswap

Anyone who has been in the crypto industry for quite a while will agree that decentralized exchanges were primarily associated with thin order books and poor UX. These issues, coupled with exorbitant fees, centralized gateways, and too many transactions was the reason dex enthusiasts demanded a simple yet effective decentralized exchange. 

Uniswap was launched in 2018 as an automated liquidity protocol for ETH and ERC-20 tokens. The platform has its own token, UNI, which is instrumental in governing protocol changes. 

One of the things that make Uniswap unique is that it doesn’t use order books but instead has an automated market maker. Users only need to select the assets they want to trade, and the platform automatically completes the transaction. 

Uniswap presents several advantages, which is why you should hop onto it already. It has no listing fees for new tokens, and users don’t have to complete the KYC checks. Besides, you get full custody of your funds and an excellent way to earn some extra tokens through the platform’s liquidity pools. 

If you choose to invest in the platform, you could either be a casual user, an arbitrageur, or a liquidity provider, all of whom play essential roles in the ecosystem. 

Yearn Finance

Yearn.Finance should be your go-to project if you’re looking to maximize the annual percentage yields on the cryptocurrencies you’ve deposited in DeFi. The unique project is an array of DeFi protocols built on Ethereum and designed for high-yield returns through liquidity pools and community governed lending protocols. Like Uniswap, Yearn Finance uses an automated market marker to allow users to convert tokens and earn from both lending and trading fees.

Yearn Finance is still relatively new in the industry, having been launched in February 2020. The platform had a rapid ascent in August, which saw its value rise to $650 million, accounting for a significant percentage of the entire industry’s value.

According to Jesse Walden, CEO of Variant Fund, “The unifying goal of all Yearn products is to create a simple, intuitive interface to all of DeFi.”

Yearn’s intuitive interface makes trading easier for all users. The platform is a portal for other DeFi products and has the YFI as its governance token. Yearn is considered entirely decentralized because the YFI tokens cannot be pre-mined, and the platform didn’t hold an ICO.

Although YFI was initially designed to be entirely community-governed, it can now be traded on other platforms such as Uniswap.

Curve Finance

You’ve probably heard of stablecoins, and if you know a thing or two about cryptocurrencies, they must have piqued your interest as an investor. Well, Curve Finance is an excellent DeFi platform if you’d like to trade-in stablecoins efficiently. It provides a solution to one of the most considerable problems in the DeFi sector; price slippage.

Like any other ideal marketplace, demand and supply forces determine the lending rates in DeFi. Now, suppose you want to trade between USDC and DAI. If the lending yield for USDC becomes higher than that of DAI, lenders will want to migrate to USDC. Curve Finance allows you to effectively do this and still earn better than you would with a regular DEX.

Switching between stablecoins effectively helps correct any anomalies in the interest rates that may result from mismatches in the demand and supply. Users can keep their profits once the interest rates are back to normal. 

Curve Finance provides one of the best ways to earn as a liquidity provider with returns of over 300% per year for BUSD. This is made possible by providing liquidity to other DeFi protocols using the deposited funds. This move generates interest for the other protocols, and Yearn, in turn, assigns the interest to liquidity providers. Additionally, they receive some CRV tokens and a cut of the trading fees from the platform.

DAI 

Speaking of stablecoins, DAI is one you should definitely watch out for in the coming year. The coin has its price pegged to the US dollar, which helps maintain its value. Whenever users on MakerDAO, the protocol behind DAI, take out a loan, the stablecoin is created. The decentralized nature of the protocol, together with the lack of volatility, ensures that DAI remains stable and transparent. 

Initially, you’d only be able to use ETH as collateral for DAI. However, the stablecoin now supports different cryptocurrencies as collateral for a DAI loan. You can place your cryptos and get them back for the same price, despite changes in the coins’ values. 

There are plenty of stablecoins available, so what makes DAI any different? Well, if you are really against censorship by governments and other regulatory bodies, you’re going to love using DAI. It is backed by smart contracts, which makes it resistant to censorship. It also provides privacy when transacting since users don’t need to complete KYC checks or create any accounts. 

Kava

Kava developers used various technologies to create a system that would allow users of significant crypto assets to access collateralized loans and stablecoins. The network uses USDX as its stablecoin, and users get to collateralize their crypto assets in exchange for the stablecoin. 

To help you gain a leveraged position in the market, you could take out several collateralized loans. For each of these loans, you’ll receive an equivalent amount of USDX to create synthetic leverage. You can then earn a passive income from the platform by staking and bonding your USDX coins. 

Kava uses a dual token system that ensures usability and flexibility. The native token for the blockchain is Kava tokens, which double up as the governance and voting tokens. Kava tokens help to ensure the platform’s security through staking, which also earns users block rewards. 

Kava has already made a name for itself in the business world by gaining some major entities’ attention. For example, Arrington Capital, Ripple, and Cosmos are behind this DeFi project, which provides some assurance in its profitability and sustainability. 

Parting Shot

There’s no denying that the DeFi industry has taken giant leaps over recent months and will continue to do so in 2021. Like most investors, you’ll undoubtedly want to add long-term value projects to your portfolio, and DeFi is an excellent way to go about it. 

Sure, it’s totally okay to be skeptical about new ventures such as this. However, the DeFi industry has proven to provide solutions to problems poised in centralized finance. 

Just as you would with any other investment, it’s best to do your due diligence and learn as much as possible before placing your money in a DeFi project. These five projects should give you an excellent head start for your 2021 investments. 

Categories
Cryptocurrencies

What’s Kava.io (KAVA)?

In a fast-developing DeFi landscape, new projects are being launched that defy the very concepts of traditional finance. After all, that’s what decentralized finance is all about – the idea that the rules can be made by the average people and not just by the government and powerful entities.

In a fast-developing DeFi landscape, new projects are being launched that defy the very concepts of traditional finance. After all, that’s what decentralized finance is all about – the idea that the rules can be made by the average people and not just by the government and powerful entities.

In a fast-developing DeFi landscape, new projects are being launched that defy the very concepts of traditional finance. After all, that’s what decentralized finance is all about – the idea that the rules can be made by the average people and not just by the government and powerful entities.

Kava.io is a DeFi platform that empowers users to earn crypto just from staking and locking up collateral. Users stand to earn yields that are way more exciting and superior than traditional savings accounts that offer meager returns. 

In this guide, we dive deep into how the Kava ecosystem works and get a closer look at its two tokens: KAVA and USDX.

Understanding Kava.io

Kava is a DeFi and blockchain platform offering services like collateralized loans to crypto users. The platform has its own stablecoin, USDX, which users receive when they collateralize their assets. It also features a native cryptocurrency known as KAVA, which facilitates staking and governance of the protocol.  

Specifically, KAVA supports the following: 

  • Collateralized loans: Crypto users have an open and decentralized interaction with loans, stablecoin, and hedging services
  • Hedging with interest: Users can hedge USDX, the platform’s stablecoin and earn yields in return 
  • A variety of derivatives: Kava intends to integrate a wide variety of innovative synthetics and crypto derivative products

Use Cases of Kava

The Kava platform aims to provide the following use cases, with the plan to roll out more in the future in the works: 

  • Users can earn USDX simply by locking in collateral
  • Users can stake USDX and earn more of it
  • Users can take collateralized loans and create leverage positions for supported cryptos

Features of the Kava Platform

#1. Auction 

This is a module that oversees the creation and implementation of various auction types that are necessary for the platform to function. This could include forward auction, debt auction, forward reverse auction, surplus auction, and surplus reverse auctions

#2. BEP3

This is a module that oversees the functioning of the BEP3 protocol. BEP3 is a cross-chain asset transfer protocol that facilitates swaps between Kava and BEP3 standard-compliant tokens

#3. CDP

CDP is a module that creates collateralized debt positions (CDP). It allows users to create stable assets pegged against a real-life asset, such as the US Dollar. It also implements the governance parameters of the system, which can be changed at any time through a vote. Such parameters could be the amount of debt that’s allowed to be in circulation, the debt limits, and collateralization ratio for collaterals.

#4.Committee

This is a governance mechanism that allows platform users to make their voices heard as far as the direction of the platform is concerned. Users can vote on and implement proposals, including in emergency situations. The makeup of the committee is decided through a traditional vote, in which coin holders ‘elect,’ remove and update committee members if and when necessary.

#5. Incentive

This is an incentivization mechanism to reward users who open CDPs. The committee defines the collateral awards as well as the period in which users can claim them. It also could change the type of award at any time. 

#6. Kavadist

This is a ‘factory’ that mints coins for the platform. Each minting period has a specified annual percentage rate. Kavadist only creates coins. It’s not involved in their distribution or spending.

#7. Pricefeed

A module responsible for posting various markets’ prices. The median price is stored on the blockchain after each block

The Tokens

The Kava platform features two tokens: KAVA and USDX. KAVA is the native cryptocurrency of the Kava platform, and it plays the following roles in the ecosystem: 

  • Security – A 100 nodes are responsible for verifying the authenticity of blocks and adding them to the blockchain. By doing this, they maintain and secure the network. They are then rewarded with KAVA tokens in the form of block rewards and transaction fees. The nodes face losing these rewards if they fail to uphold any of their duties, such as not preventing the double signing of transactions
  • Governance – KAVA token holders can vote on and enact proposals within certain parameters of the CDP system
  • Lender of last resort – In the event, the Kava system runs out of collateral or is undercollateralized, KAVA token steps in as a reserve currency

In the same way, USDX has its own uses: 

  • Providing leverage – Platform users can use USDX tokens to leverage many other cryptoassets
  • Hedging – Traders can use USDX as a stable asset to cushion against the volatility of other cryptocurrencies 
  • Payments – USDX token is used to settle various forms of payments on the Kava network

 Distribution of KAVA

KAVA’s Distribution was as follows: 

  • 30.05% for the first private sale that took place between Jun 15 to Jun 30, 2019
  • 5.02% for the second private sale conducted between Jul 15 and Jul 31, 2019
  • 4.93% for the third private sale conducted between Aug 15 and Aug 31, 2019
  • 6.52% for the Binance Launchpad sale conducted on October 2019
  • 25% 4 Kava Labs shareholders
  • 28.48% was reserved for the Token Treasury

At the time of writing, Kava.io traded at $4.30, and it had a market cap of $144,014, 710, which placed it at #70. It had a 24-hour volume of $80, 817, 704, a circulating supply of 33, 485, 395, and a total supply of 106, 274, 714. KAVA’s highest and lowest price ever was $4.46 (Aug 08, 2020) and $0. 299967, (Mar 13, 2020).

Where to Buy and Store KAVA

You can grab some KAVA from a variety of legit exchanges, including Binance, Upbit, Bilaxy, Kraken, BitMax, Gate.io, Hoo, BiKi, HitBTC, Bitsonic, Bitrue, Coinone, CoinDCX, and HotBit. The token is paired with either USDT, ETH, USD, BTC, and BNB. 

You can store KAVA tokens in Trust Wallet and Ledger. 

Closing Thoughts

Kava.io is an exciting investment alternative for the modern investor. Instead of depositing your money to a lifeless savings account offering minuscule returns, you could consider a not just more dynamic investment platform, but also a decentralized one where you get to contribute to the rules. Kava.io is a strong contender for such a platform.