Kaia (KAIA): what are the features of one of the leading "asian" blockchains?

What is Kaia?

Kaia is a Tier 1 blockchain platform focused primarily on the Asian Web3 market. The Kaia blockchain came from the merger of two well-known projects in the crypto industry, Klaytn, and Finschia, developed by two Asian tech giants, Kakao and LINE, respectively.

According to the developers, they aim to make Kaia the leading blockchain solution in Asia and lead the adoption of Web3 technologies in traditional industries by providing reliable enterprise infrastructure. By doing so, the Kaia team aims to make its blockchain platform accessible to Web2 and Web3 users.

In addition, Kaia's blockchain platform targets crypto industry trends such as real-world assets (RWA), which is one of the trends in 2024, decentralized finance (DeFi), and GameFi. For example, in the future, the Kaia team plans to issue stablecoins and bonds backed by actual fiat currencies on its blockchain.

How does the Kaia blockchain work?

According to the official documentation, Kaia is a highly optimized public blockchain platform built on the modified consensus Practical Byzantine Fault Tolerance (PBFT), used by many decentralized networks such as Cosmos and Solana.

The Kaia blockchain continues to work as long as at least ⅔ of the network participants (validators) reach a consensus, i.e., agree with each other on specific tasks when validating transactions, adding new blocks, and so on.

The Kaia blockchain platform provides:

1. Near-instantaneous transaction completion. According to the developers, Kaia network performance reaches 4000 transactions per second (TPS), and the block creation time is only 1 second;
2. Low cost of gas, which is about 10 times less compared to the Ethereum blockchain. In addition, the low price of developing decentralized applications (DApps) for the Kaia ecosystem is also ensured;
3. Compatible with the Ethereum Virtual Machine (EVM), which allows you to create applications that can run in both the Kaia ecosystem and Ethereum. In addition to Solidity, which is used to develop applications for the Ethereum ecosystem, Kaia supports other smart contract programming languages such as Vyper, Yul, and Huff. This brings a vast pool of blockchain developers into the Kaia ecosystem;
4. Facilitating the adoption of Web3 technologies in various industries;

The Kaia blockchain architecture itself consists of three critical subnets:

1. Core Cell Network (CCN). This subnetwork includes Consensus Nodes (CNs), which are responsible for processing transactions and mining new blocks in the Kaia network;
2. Endpoint Node Network (ENN) — a subnetwork consisting of Endpoint Nodes (ENs) that process RPC API requests and data for service subnets;
3. Service Chain Network (SCN) — auxiliary blockchain subnets managed by independent decentralized applications connected to the leading Kaia network using endpoint nodes.

Kaia developers introduced a proprietary virtual machine (KVM) based on EVM that provides a reliable execution environment for smart contracts. The Kaia virtual machine's compatibility with EVM allows developers to port Kaia smart contracts to the Ethereum network with minimal changes.

Kaia cryptocurrency

KAIA is the primary native asset of its blockchain platform. The KAIA cryptocurrency went public on exchanges at the end of September 2024. In total, about 5.8 billion KAIAs have been issued.

The KAIA cryptocurrency is used for transactions such as paying fees for any transactions and paying rewards to validators. KAIA is traded on many major exchanges, including decentralized exchanges (DEX) such as KLAYswap.

As of November 2024, for $0.12, KAIA's capitalization is $713 million, and the asset itself is among the top 100 largest cryptocurrencies by this indicator. Moreover, since the moment of listing on exchanges, the rate of KAIA has not changed much, and at the peak, which was reached at the end of October 2024, the price of this cryptocurrency was $0.15.

Prospects for Kaia

Kaia is a blockchain solution developed far from the latest players in the crypto industry. According to the developers, Kaia has the largest Asian ecosystem with over 360 Web3 projects — more than Solana and Optimism.

In addition, the Kaia team aims to reach out to leading sectors in the crypto industry, such as DeFi, GameFi, and RWA, which will give the blockchain platform an added advantage and help expand the Kaia ecosystem even further.