Kava Labs has announced the launch of a new PoS blockchain – Kava Blockchain, that aims to develop a network to bring DeFi [Decentralized Finance] support to assets that wouldn’t otherwise have access to it. The first asset to have support on this new blockchain will be XRP, and it will have access to all DeFi services.
There will eventually be support for other assets like BTC, ETH, and others. The blog added,
“Kava platform users can gain exposure on their crypto assets through margin trading and hedge using the USDX stablecoin as a stable store of value… We will be moving to support other assets shortly thereafter and collaborating with other peg zones.”
The Kava Blockchain will be based on Proof-of-Stake and will have a native token – Kava, for securing the network. Apart from securing the network, the tokens will help holders participate in the governance of the blockchain by delegating them to a staking service provider. These staked tokens further have the ability to participate in the governance of the system, including deciding what types of collateral the system supports and how many stablecoins the system can create.
This announcement comes after the recent announcement of an XRP-backed stablecoin, USDX. It fits perfectly into the roadmap of Kava Labs for developing a blockchain and further improving “Decentralized Finance,” in conjunction with cryptos like XRP, BTC, and others.
The blockchain is confirmed to be launched on August 31, 2019 and Kava Labs might have plans to conduct an IEO for the distribution of Kava tokens in the future.
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