Review on Kava by Olugbenga Ajayi
Kava success will be determined by the value of its USDX
Kava is a crypto project that aims to provide collateralized debt position on any crypto currency asset. Before now we have some project that has come forth to do almost the same but while such project are limited by scope, in theory, Java happens to be the first defi lending platform thatis promising to integrate multiple blockchains and practically it has brought in Ripple already and Veri soon Bitcoin will come in. But how far and how soon would it be able to meet these goal? Only time will tell.
Kava has dual token that serves different purposes. One is USDX which is going to be used as the collateral in the defi ecosystem and the other is kava which will serve as the utility token for voting and governance participation.
The project makes use of a special form of proof of stake called Tendermint which utilizes the Byzantine fault tolerance mechanism.
Pros
- Kava is an open source crypto project so verification on GitHub is possible and there is room for improvement
- It is a crypto project for getting collateralized loans against crosschain digital assets
- It is possible to invest and earn while holding a crypto that is not yet valuable. For instance you are having ripple and ripple has not been increasing in value for a while now, you can collateralize the ripple and get USDX of equivalent value, stake it and earn some interest
- There are opportunities for regular Kava users to earn passive income
- Kava allow users to participate in governance
- It has a strong team that regularly updates it's communities of users via social media
- The team is transparent and has been in development since 2017
- It has support and backings of reputable companies like Ripple, Arrington capital and many more
- The interface is easy to use
Cons
- The growth of the project can only be as good as the value of its coin USDX
- It is still somehow new, more time is needed to really determine its prospect
