Updated: Apr 28
Up 67% in the past 3 months, KAVA has remained an positive outlier amongst decentralized finance protocols. Climbing from $3.88 on Mar 13th to hitting $5.38 today April 25th, and doing the majority of that climb in the past 7 days up over 20%, consistently KAVA has stayed
towards the top of the charts whilst many other defi protocols have experienced stagnation in terms of spot price.
Layer-1 blockchains such as Polkadot, Solana, Avalanche, Cardano, and Terra compete to build "Ethereum killing virtual machines (EKVM's)" By adding clone chains that run parallel to the main chain, testnet chains, and relayer protocols to compartmentalize transactions these other chains are viably creating launchpads for 1000's of projects that will attract the attention of many developers in the short term. The numbers say that we may have some divergence between forecasted protocol development and actual operable DApps. If we could read between the words and the marketing (moving pictures), we might find the answers are close to the surface. Open-source code is transparent. Most Defi & DApps are currently in alpha and beta testing modes, and they are competing for project funding and network access. The capitalization is spread very thin amongst the competing, yet intertwined, ecosystems. The forecasted vs. actual divergence should be considered when contemplating long-term investments.
Read between the words and the marketing (moving pictures) and we can find the answers are close to the surface. Open-source code is transparent.
Learning to understand coding basics will be complicated, but it is doable with the many resources available to do so. Learning to perform fundamental analysis can help one relate to over 19,000 crypto coins and tokens. Understanding a little bit about computer code may be the very thing that can help an investor detect lame or dead projects, avoid Ponzi schemes, and mitigate the inherent risks involved in the scantily regulated cryptoverse.
Before we talk about how KAVA (click to go straight to more about Kava) has combined the two most used permissionless ecosystems into one scalable network, let's examine some of the top and only somewhat funded project "assets" from the EKVM's for a fun comparison.
(JOE) Trader Joe (Not the retail grocery stores) - One-stop shop on Avalanche for trading, lending, borrowing, farming, & staking. $224M in market capitalization.
(Only 1 verified project on Coinmarketcap???)
(WMT) World Mobile Token - Bringing mobile network to the 4 billion unconnected. Emotional marketing of the dream of providing the web 3.0 & a global ID to each of 4 billion people that didn't take part in web 2.0?
Other heavily marketed, over touted, under funded, and unverified projects on Cardano include defi protocol Occam and defi oracle Charli3. Sorry Charli.
Solana Top Asset:
(SRM) Serum - A protocol and ecosystem that brings outstanding speed and low transaction costs to decentralized finance. It is built on Solana and is completely permissionless. Ecosystem partners can compose with Serum’s on-chain central limit orderbook to share liquidity and power markets-based features for institutional and retail users. Market cap of SRM is currently at $582M.
(KSM) Kusama - The Polka testnet of testnets. Designed to provide a backdrop for developers looking to innovate and deploy their own blockchain, Kusama can be used as a preparatory network before launching on Polkadot. Many projects are even choosing to stick with Kusama for their final product. KSM currently has a market cap of $1.34B.