Coinmetro is the Central Resource for Kadena Staking
It is without a shadow of a doubt that among the significant advancements in blockchain technology over the past year, Kadena, the public blockchain using a new consensus mechanism called Chainweb, is one of the leaders of the pack.
Kadena, referred to as KDA, came to fruition and rose to prominence in the decentralized finance (DeFi) world having raised $12 million from Devonshire Investors, Fidelity Investments, SIG, Asimov Investments, Multicoin Capital and SV Angel and others through a Simple Agreement for Future Tokens (SAFT) sale.
A unique opportunity to participate in the staking process for one of the most advanced proof-of-work blockchain projects in the world is available via CoinMetro, as we are the only venue in the world which offers the opportunity to participate in Kadena staking, with a reward system that goes with it.
With at least 1,000 KDA in your CoinMetro account, participants can earn a passive income by staking your KDA coins, however now, the ability to get involved has gone even further as CoinMetro has advanced its relationship with the Kadena native coin.
In late October 2021, Coinmetro announced that it will be officially supporting Wrapped Kadena on the Ethereum blockchain, making CoinMetro the official and sole venue that will be bringing Wrapped Kadena (wKDA) into the world within the next few weeks, via Wrapped.com
This will take the form of Wrapped Kadena is designed to be backed on a 1:1 ratio basis with an underlying asset, which in this case will be Kadena.
On October 28, 2021, CoinMetro CEO and founder Kevin Murcko held an AMA (Ask Me Anything) with executives from Kadena and Wrapped, on the ethos behind this direction.
During this session, Will Martino, former CEO and founder member of Kadena, explained that “Kadena is the asset that is mined out of the KDA protocol, and it is a proof-of-work protocol. We believe in decentralization and openness, however performance, security and scalability are vital areas. We started off with a 10 chain network, moving to a 20 chain network around 9 months later.”
“As we go from 20 to 50 chains, the scalability is already something that’s been proven. The interesting part of proof-of-work is that 99% of the energy goes into mining our resources, in other words hashpower. As we go from 20 to 50 chains, the net energy resource needed is maybe 1% more” said Will Martino.
As far as that is concerned, this scalability and efficiency allows quick innovation around blockchain concepts.
Kevin Murcko, CEO and founder of CoinMetro said “The future is probably a hybrid model in which there will be benefits of centralized finance combined with benefits of decentralized finance, and we will have to deal with regulation in a decentralized manner, and nobody knows how to do that yet. To do things the right way means a mix so that means that CoinMetro needs to move down the path toward DeFi.”
“For us to do that we need really good partners, and we are picky about the partners we choose. We listed Kadena when it was around 12 cents because we saw the potential, and we knew they understood they knew what they were doing, and had expertise not only from their time at the SEC and JP Morgan among other financial institutions, but they understood the game, how they wanted to play it and how to apply it which is ultra-important” said Kevin Murcko.
After listing, CoinMetro then began the bonding process with Kadena, which is similar to staking in the respect that some kind of reward is provided for locking up assets in the process.
Following the bonding came staking, and now wrapped Kadena is live. Participants can withdraw wrapped Kadena or regular Kadena.
The ideas around liquidity are now very important, with Layer 2 technology now coming into force. The more interoperability between protocols that exists, the more liquidity can be brought in.
Wrapping an asset in order to create more interoperability can increase liquidity.
As this project gains further momentum, we will go into greater detail with regard to the difference between layer 1 and layer 2 protocol scalability and how liquidity pools can be increased in standing via the development of such protocols which underpin Ethereum-based blockchain protocols.
The current partnership between CoinMetro and Wrapped signifies a huge advantage for those getting involved in staking, as it lets investors use their digital assets to lend, borrow, and trade on all major DeFi platforms, and each wrapped asset is fully-collateralized and held with a qualified custodian.
Thus, you are quite simply defining the new direction of decentralized financial services as it becomes increasingly comprehensive.