Kava Labs, a cross-chain decentralized finance (DeFi) platform, announced today it has launched its anticipated mainnet following the successful final testing of the Kava Testnet 3000.
The mainnet launch will see the Kava governance structure come to life, as well as KAVA token trading, which lays the foundation for the upcoming launch of the Kava CDP module. The CDP module will allow users to collateralize loans against an array of major cryptocurrencies.
“As the first DeFi application built within the Cosmos ecosystem, Kava showcases the power of the Cosmos SDK and empowers digital asset holders in the Cosmos Internet of Blockchains. We believe Kava combined with IBC will mark the start of a new generation of interoperable DeFi applications.”
– Jae Kwon, Founder and CEO of Tendermint and Cosmos
Officially launched on November 5th, at 14:00 UTC, the Kava mainnet will witness the start of trading and staking of KAVA, the native governance token of the Kava blockchain. Operating as a fully functioning decentralized autonomous organization (DAO) and lending platform, KAVA tokens will underpin the entire operational proceedings of the Kava network.
Charged as a transaction fee on all activities upon the Kava platform, and rewarded to validators maintaining the network, KAVA tokens will not only incentivize good network governance but will entitle holders to voting rights on the future of the platform, including expansion decisions, new service offerings, and what crypto assets will ultimately be supported.
“The Kava mainnet launch is a foundational step in a series to realizing our vision of making Kava the de facto DeFi platform for crypto. Kava on BINANCE Launchpad was the first step to get Kava into the hands of thousands of crypto traders and investors all over the world. The Kava mainnet launch is the second step, enabling these users that now have KAVA to stake, delegate, and participate in the governance process of Kava. Our next key milestone is the release of Kava’s CDP module enabling the first USDX, Kava’s crypto-backed USD to be minted.”
– Brian Kerr, Co-founder, and CEO of Kava Labs
The Kava mainnet lays the foundation for the upcoming Kava CDP system, a decentralized lending platform. Unlocking value for digital asset owners and financial market participants by bridging the digital asset economy with traditional collateralization and lending practices, Kava brings together the best of old and new financial services.
The Kava CDP will offer decentralized leverage and hedging of major cryptocurrencies beyond Ethereum ERC20 tokens including BTC, Ripple (XRP), Cosmos (ATOM) and Binance Coin (BNB).
Through the issuance of stablecoin loans in proportion to digital assets submitted to Kava by users as collateral, the open-access platform aims to democratize loans, and offer asset owners the opportunity to hedge against their digital assets and more traditional markets in periods of uncertainty and volatility.
This milestone mainnet launch comes just two weeks after the successful completion of the Kava Initial Exchange Offering (IEO), which took place on Binance Launchpad.
The $3 million USD sale, which witnessed a 180% rise in the value of KAVA upon the commencement of trading on Binance was the 10th project launched on the exchange this year, and the first DeFi project to receive formal backing from Binance Launchpad.
“We believe Kava can become the leading DeFi platform offering lending and stable coins to a wide array of major crypto assets including BNB and offer new trustless leverage and hedging options for users of the Binance DEX.”
– Binance Founder and CEO, Changpeng Zhao
The Kava mainnet launches with more than 100 active validators maintaining the network and overseeing transactions, including notable players within the staking-as-a-service ecosystem, Dokia Capital, Infinity Stones, Cosmostation and StakeWith.Us. The mainnet launch is also supported by Kava’s investor and partnership network, which consists of industry leaders, including Ripple, Binance and Tendermint.