After reviewing a couple of DeFi projects, I keep my pace by reviewing Kava. I had no clue about them, so here is a fresh objective approach from my side.
Some (common) options Kava offers:
- farming and staking
- governance and voting
- interoperability between different DeFi platforms
- Cross-chain compatibility
So what sets Kava apart from its competitors?
- Insurance fund 1*
- Collateralized Debt Positions (CDPs) collateralize your crypto assets and borrow stablecoins against them. 2*
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The insurance fund is known as the Kava Safety Fund (KSF). It provides coverage against protocol risks and acts as a backstop for user funds in the event of a smart contract exploit or hack.
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Create CDP: Deposited cryptos are locked in a ‘smart contract.’ Create USDX: Users are given USDX loans equivalent to their CDP value. Close a CDP: Kava.io users pay back the loan plus a transaction fee to access the locked (collateralized) crypto.
The KSF is nice, it aims to enhance the security and trustworthiness of the platform. CDP is great too, as you unlock the value of your holdings without needing to sell them. Not sure if they will win the DeFi war, but they are 4 stars imo. Show Less
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