Cryptocurrency in Focus: Kyber Aims to Crystalize Its 2020 Upgrades

The protocol boosts its presence and outlook with key changes.

Kyber Network -- a protocol that aims to make swapping cryptocurrencies simple and efficient -- is getting a big upgrade.

The Ethereum-based network relies on its trading "token," KNC, for paying fees, and through 2019, Kyber hit over $400 million in transaction volume of KNC. Now, the upgrades are expected to boost its profile and raise its scores even further.

Included among the upgrades will be Kyber rolling out a new staking mechanism to the token model, and the launch of the KyberDAO. This will allow KNC holders to stake their KNC tokens in the KyberDAO to participate in governance and receive rewards.

Kyber also aims to seal its position as the "liquidity layer" for the decentralized finance space by "having the majority of takers and makers using Kyber as their single on-chain endpoint," according to Kyber.

In addition, the Kyber Network has made some great announcements over the past month, such as its listing on Coinbase Pro, which caused an important surge in KNC price.

The Kyber protocol aggregates liquidity from a wide range of reserves, powering instant and secure token exchange in any decentralized application.

A Catalyst for Growth

Kyber Network’s fundamentals have gone up 34-points (4.20%) since mid-February, driven by a 65-point (13.15%) increase in User Activity. Market Maturity also saw a 50-point (12.96%) spike, while Developer Behavior remained steady.


Our Hot Take

One of the great features of Ethereum open source projects is the concept of composability, where different protocols can be integrated and combined with each other to create new innovative decentralized finance use cases. But to date, composability has been halted at the boundaries of Ethereum, and new projects suffer from having a token that is usable only within its own isolated ecosystem.

In this way, Kyber’s platform-agnostic protocol is key not only to its own success, but to the potential success of all new projects that would otherwise be too small to compete. In the words of co-founder and CEO, Loi Luu, Kyber’s goal echoes blockchain technology’s primordial ethos of “equalizing access to everyone, regardless of origin, location, power or background.”

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