Decentralised finance (DeFi) platform for lending and borrowing crypto assets, Kava Network, will be bridging the Cosmos and Ethereum ecosystems with an Ethereum Virtual Machine (EVM) Co-Chain on 8 March .
The aim of this Kava Network is to make it easier for blockchain developers to onboard to drive growth.To help this process it will also be offering incentives to developers.
As part of its upgrade to Kava 10 in May the existing Kava blockchain will become the Cosmos Co-Chain, while the Ethereum Co-Chain, which is currently under development, will launch with the upgrade.
The native token Kava (KAVA) which has suffered a bumpy ride already in 2022 has bounced back since the plunge caused by the market turmoil in response to Russia’s invasion of Ukraine.Today (2 March) it is at $3.51 up 34% from the February low point.
Can the coin retain this momentum and what does the KAVA crypto price prediction for 2022, 2025 and 2030 look like?
What is the KAVA coin?
The Kava Network was founded in 2018 by Kava Labs, a company focused on making financial services easily accessible to all.On 14 November 2019 the Kava mainnet launched.
The Kava blockchain acts like a decentralised bank.It’s the first DeFi platform to offer users the possibility to borrow and lend major crypto assets without the need for a traditional financial intermediary, according to its whitepaper .It supports a number of cryptocurrencies, including Bitcoin (BTC) , Ripple (XPR) , Binance (BNB) and Cosmos (ATOM) .
Many DeFi platforms are powered by the Ethereum network.Kava is the first to be built on Cosmos , which, according to its creators, allows Kava to operate “lightning-fast” – the platform’s major unique selling point.
The network is powered by Co-Chain architecture, which combines the flexibility and speed of the Ethereum blockchain with the interoperability of the Cosmos SDK, merging the two most used permissionless ecosystems into a single, scalable, network.
This allows users to access the most popular blockchains and establishes the free flow of assets and projects within the Kava Ecosystem.
The platform has three functions:
Kava Lend: allows users to earn rewards by supplying and borrowing assets from money markets.
Kava Swap: allows users purchase and sell assets across the Kava Blockchain and earn rewards by providing liquidity pools.
Kava Mint: allows users to take USD-pegged [stablecoins] called USDX loans by using their crypto assets as collateral.
Kava’s crypto-backed stablecoin can be minted by anyone who owns crypto assets.To mint USDX a user must deposit more crypto assets in USD value than they wish to create USDX of.
Different crypto assets have a different collateralisation ration.
Users receive rewards for minting USDX in the form of Kava Network’s native cryptocurrency, the KAVA token , which can be used for governance and staking.The number of rewards an owner receives in KAVA varies Accor to the type of their owned crypto assets.
There were 100m KAVA tokens initially released by the network.According to CoinMarketCap, at of the time of writing (2 March 2022), some154.7m KAVA tokens were in circulation, with their total supply exceeding 154m.The token’s market capitalisation amounted to over $543m, giving it a rank of 112.
KAVA crypto price: Latest drivers
The KAVA token was priced at $0.9646 at its launch on 26 October 2019.It surged by 32.44% to $1.2776 on 19 November 2019 following the announcement on 16 November that the KAVA mainnet had officially launched into full gear “making DeFi on Cosmos a reality”.
Through the end of 2019 and the start of 2020, the token’s price started to fluctuate.It dropped to its all-time low of $0.3438 on 16 March 2020, despite the token being listed on three different exchange platforms throughout January and February that year.
Since it’s all-time low in March, the token regained momentum in the summer of 2020.
By 8 August, the token’s price reached $4.6653 – a 1256.98% surge since that all time low.
The KAVA token then kept a steady rate of growth, rising 9.12% to $5.091 on 16 August after an https://medium.com/kava-labs/injective-protocol-integrates-with-kava-to-create-a-more-diversified-derivatives-ecosystem-b56410106bfa that Kava had embarked on a partnership with Injective Protocol.
The token’s price achieved new heights at the end of March 2021 as it reached over $6 for the first time.The rise followed the https://twitter.com/kava_platform/status/1371993436207734789 that Kava Labs had acquired Crank Studio, a Canada-based user experience and user interface (UX/UI) design firm.
What is your sentiment on KAVA/USD?
Kava Labs is thrilled to announce it has closed a strategic acquisition of Crank Studio to accelerate the adoption of — The Kava Network (@kava_platform) [$KAVA] DeFi Platform.???? [March 17, 2021]
By 23 August 2021, the KAVA token reached its all time high of $8.7159, a rise of 161.1% since its low of $3.3381 on 20 July, amid anticipation of the l aunch of Kava Swap on 30 August.
Between 23 and 26 August the coin’s price started to decline.It gained momentum on 26 August when the platform rebranded by introducing the Kava Mint, Kava Lend and Kava Swap Protocols.
This led to a 14.19% rise in the token’s price from$7.5813 on 26 August to $8.6573 on 28 August.
The next major catalyst in KAVA crypto news came at the end of October 2021 when the company announced that it was planning to launch its big Kava 9 update.The token, which has been falling since September, failed to gain much momentum rising by 5.18% between 21 and 26 October, from $5.6376 to $5.9299.
The Kava 9 mainnet update successfully launched on 19 January 2022, however, the token’s price stayed in a bearish trend falling by 38.8% from $5.5258 to $3.3785 between 16 and 23 January 2022 amid a general dip in the cryptocurrency markets.
Technical analysis provided by CoinCodex showed that short-term sentiment on the KAVA token remained bearish as of the time of writing (2 March), with 14 indicators showing bearish signals and 13 showing bullish signals.
What’s to come in 2022?
In recent KAVA crypto news, the company uncovered plans that the blockchain will undergo another major upgrade known as Kava 10 which will introduce the Ethereum Co-Chain along with the currently used Cosmos blockchain.
According to the platform, bringing Ethereum and Cosmos together will create a surge of activity on the Kava Network.The launch of Kava 10 is anticipated for 3 May 2022.
Other upcoming projects on Kava’s roadmap that could influence n the token’s price include the GameFi and non-fungible tokens (NFT) incentive program scheduled for May 2022.
BigONE Exchange’s chair Anndy Lian explained that Kava’s function to lend and borrow assets using a number of cryptocurrencies as collateral still serves as a big plus for the platform.
“[Kava’s] debt-to-collateral ratio is reasonable too.For example, based on a 300% ratio, the cryptocurrency locked in the network would be liquidated if it falls below 3 X of the USDX loaned,” he told Capital.com.
“The slide in the price recently is due to the overall market conditions.Some investors may see steeper plunges due to the performances of their collateralised assets.
In my humble opinion, there is nothing to be worried about at this point, their codes are sound and their treasury is still holding up well.”
KAVA price prediction 2022-2030
Algorithm-based forecasting service Wallet Investor gave a bullish KAVA crypto price prediction, as of the time of writing (8 February), calling it an “awesome long-term investment”.
Based on its analysis of the cryptocurrency’s past performance, the forecasting service predicted that KAVA could trade at $4.79 in 12 months and $12 by March 2027.
DigitalCoinPrice supported the bullish Kava forecast, seeing the coin average $4.59 in 2022.The coin’s price is estimated to surpass its all-time high in November 2025 at $7.44, according to the site.
DigitalCoinPrice estimated that the token could reach $9.50 in 2027, rise to $16.74 in 2030.
Note that algorithm-based price predictions can be wrong.Forecasts should not be used as a substitute for your own research.Always conduct your own due diligence before investing.
And never invest or trade money you cannot afford to lose.
FAQs
Whether KAVA is a good investment for you depends on your personal circumstances and risk appetite.Cryptocurrencies are very high-risk assets.
You should do your own research and evaluate the level of risk you are prepared to accept before investing.
Never invest money you cannot afford to lose.
Algorithm-based forecasting service Wallet Investor gave a bullish KAVA crypto price prediction, as of the time of writing (2 March), calling it an “awesome long-term investment”.
DigitalCoinPrice supported the bullish Kava forecast, seeing the coin average $4.59 in 2022.The coin’s price is estimated to surpass its all-time high in November 2025 at $7.44, according to the site.
It should be noted that predictions can be wrong.
Forecasts shouldn’t be used as a substitute for your own research.Always conduct your own due diligence before investing.And never invest or trade money you cannot afford to lose..
