The DeFi market is truly doing something special right now, and it is only the beginning. But most people only are thinking about the DeFi protocols built on Ethereum, not realizing there is much more out there. And one of those has been my favorite coin surge picks for months, and that is KAVA. And the price has been rocketing up to new all-time highs just this week.
But many people still don't know what KAVA is, or what it does, and why it could be very important. But most of all, it is still very early on for this coin. Let's dig into it more.
What is KAVA?
If you don't know what KAVA is, it is a cross-chain DeFi lending platform enabling stablecoin loans to users of major cryptocurrencies.
Unlike the predominantly ether-focused MakerDAO, the goal for Kava will be to work with most any digital asset, or at least that’s the plan, according to Kava Labs CEO Brian Kerr. Kava is built on the Tendermint consensus algorithm, which is also employed by the Cosmos, the blockchain interoperability project.
The really exciting thing is that you will in the future be able to put some of your crypto coins to work that in the past haven't been able to be used with DeFi. Those include BNB, and Bitcoin and XRP. I think this fact alone; you'll be able to use native Bitcoin for DeFi with Kava is a huge selling point alone for this project.
Personally I began learning about KAVA in April of this year, and immediately saw the potential of the project and was immediately interested, and wanted to learn more and more. At that time the price of the coin had fallen down to $0.50, but I knew this was a golden opportunity and scooped up a large bag of KAVA. Fast forward to today, KAVA has risen up to an all-time-high price of $3.04, and then having a slight pull-back to $2.84. In the last month alone the price has risen 176%. The great thing about this is that KAVA still is very new to the market, and hasn't fully found it's own price, it is in price discovery mode, a little-similar to Chainlink right now, with the difference being Chainlink has been on the market for a few years now.
KAVA only has a market cap of $95 million right now placing it outside of the top 100 coins in market cap. It has a circulating supply of 33.5 million, this means that there is plenty of room for KAVA to continue growing and appreciating in value. Especially because it is DeFi, everything DeFi related is popping right now, and like I mentioned in the future they plan to incorporate Bitcoin into the mix.
One also bullish note about KAVA that I would like to add, is that not many exchanges now offer it. For the longest time about the only place you could purchase it was at Binance. But just this week Kraken also listed KAVA as well, which might have contributed to the price going up. This means that once many other exchanges begin to list it, the sky is the limit for the growth we could see.
As you can see, I am incredibly bullish for KAVA. While I will admit that it could be risky because the project is so new, and many of the things they are promising to achieve haven't been finished yet. But I still think this is a great time to get into this project.
I would love to know what you think! Did you already know about the KAVA project? Does a non-ethereum DeFi project excite you, especially one that will include native Bitcoin!?
As always, thank you for reading!