🐦What Is Kusama?🐦
Kusama exists as means of testing the Polkadot network under real economic conditions, and almost every feature that will ever be added to Polkadot will first be tested on Kusama. Kusama is intended to exist as its own network long after Polkadot is “finished”
💱How Does Kusama Work?💱
When it comes to what’s under the hood, Kusama is basically a carbon copy of Polkadot with a few key differences. For starters, Kusama’s code has not been audited Kusama’s governance process is also 4 times faster than Polkadot’s to allow for faster upgrades to the network On Polkadot, 1% of any unused treasury funds are burned, whereas on Kusama 0.2% of any unspent treasury funds go to the members of Kappa Sigma Mu
KSM’s initial supply is still just 10 million. Around 9 million KSM is currently in circulation. Since 50% of KSM’s supply is currently being staked, this works out to an “actual” circulating supply that is closer to 4.5 million. KSM also has an inflation rate of about 7.5% per year
Polkadot is supposed to begin rolling out their parachain loan offerings sometime this year. The Polkadot team is planning to pilot these parachain loan offerings on Kusama first This means that some or possibly even all the projects that are currently competing to launch on Polkadot will make their debut on Kusama ⛓What is ThorChain?⛓ ThorChain is a cross chain liquidity protocol. In plain English, this means that ThorChain makes it possible to trade different types of cryptocurrencies without the use of a centralized exchange. However, ThorChain is technically not a decentralized exchange. ThorChain is intended to be the back end protocol
💱How Does ThorChain work?💱
The ThorChain protocol creates a series of liquidity pools consisting of a cryptocurrency from any blockchain and the RUNE token. A network of anonymous nodes hold the assets in these liquidity pools in various vaults and watch for signals from the two blockchains involved to execute the desired transaction.
RUNE is a BEP2 token on the Binance Chain with a maximum supply of 500 million. Although only a small portion of this supply was sold in public and private sales, most of RUNE’s supply has been set aside to reward validator nodes and liquidity providers.
ThorChain is working on multi-chain integrations of their protocol with Bitcoin and Ethereum, and they seem to be making some serious progress. ThorChain is also coming close to supporting privacy coins like Monero that are slowly being delisted from centralized cryptocurrency exchanges. ThorChain’s market cap is nearly a billion dollars with Binance Chain support alone.
Binance might behind ThorChain. Maybe it’s even CZ himself given that he knows centralized exchanges are doomed to fail and also seems to be looking for ways to avoid regulations.
📜 Disclaimer 📜
The information contained herein is for informational purposes only. Nothing herein shall be construed to be financial legal or tax advice. The content of this video is solely the opinions of the speaker who is not a licensed financial advisor or registered investment advisor. Trading cryptocurrencies poses considerable risk of loss. The speaker does not guarantee any particular outcome.