Kadena-The Future of Digital Value
If you dont want to read, this video below goes over everything covered in this article.
Kadena’s Founding
A little backstory on Kadena before we get into all that Kadena has to offer, Kadena was launched back in 2016 by two people called Stuart Popejoy and Will Martino. Stuart was part of JPMorgan’s blockchain group and Will was the tech lead for the SEC’s crypto steering committee. So basically two people who have major experience in the crypto industry. Now I could go into everything Kadena has to offer but I want to focus on the main things and give you guys a general idea of where this crypto is heading in the future and what makes it a coin that I think will be top 5 in the next couple of years. I believe that for a crypto to become established in the space it has to have use cases and Kadena is not short of that at all.
Scalability
The first major problem we have in the crypto space is the scalability of networks. It is a big misconception that proof of stake is scalable, however it actually isn’t to a certain extent. Every proof of stake system that is trying to scale has some hard limit that they will hit eventually. With the Ethereum merge coming soon we might be able to see a hard limit reached when people start using Ethereum proof of stake. There is also worry about scalability of proof of work in the networks, and this is what Kadena has been working on over the last 5 years to solve the scalability problem of crypto. Kadena is a proof of work crypto which requires miners for the network, they have actually taken a design approach to distribute over numerous chains, this way their proof of work model becomes more scalable than proof of stake. They have also recently proved this scalability when they took the network from 10 chains to 20 chains while still being a proof of work coin. If you don’t understand, chains are like lanes on a freeway, if you have more lanes you can accommodate more traffic, the Kadena blockchain can expand the amount of chains to as much as they want which will eliminate the traffic on the network and drop gas fees, while also not compromising the speed of dapps. This in theory makes Kadena the only layer 1 crypto with the power of a layer 2 crypto. Layer 1 crypto’s are things like Bitcoin and Ethereum, and layer 2 crypto’s are things like Lighting Network and Poly-matic. Layer 2 builds on top of the layer 1 crypto’s to improve on them. However Kadena has spent years developing the coin so that layer 1 and layer 2 is all in one place and the user doesn’t have to use multiple layers to buy and sell crypto. The founder Stuart has said that the scalability of Kadena can handle industrial use cases along the lines of clearing the entire US stock market. He goes on to mention that it could be done today right now. The problem of scaling has been solved by the Kadena team and now just needs the volume to prove it.
Kadena’s Bespoke Coding Language
The second major problem is the coding languages that are used in the crypto industry. Pretty much most of the top coins in the industry utilize a programming language called Solidity or C++, now the problem with Solidity is that it tends to be very bad for smart contracts. This is because when a user deploys a smart contract there’s now way to go back and change it, this leads to tons of testing and the coding has to be very simple for it to work. It also has the disadvantage of being open to attacks, we have seen this in the past with the Ethereum DAO hack which happened because hackers sent Ethereum via a deposit function and quickly used the withdrawal function, then they doubled the withdrawal with the feedback function. Therefore they doubled their money and took over $60 million. Now that’s the problem we have going forward with Ethereum in the future, basically if Ethereum suffers an attack then every token, nft and dapp built on top of Ethereum will suffer. So Kadena has actually spent the past couple of years developing their own programming software for making smart contracts. No other crypto has used or developed their own language. This language is more powerful than the main Solidity language. The founders said that while creating the language they studied solidity and also Bitcoins script, Bitcoins script reached for and didn’t quite achieve a language which is powerful and protects the user. Lastly they said where Satoshi fell short, they believe they have achieved the goal that Bitcoin was going for. They even provide evidence that shows how Pact could have saved many crypto hacks, these bugs that allowed hacking would not have been possible to even write on their code. You can check this out at savedbykadena.com. The last thing about Pact is that it’s very easy to use and create smart contracts on. You basically need limited knowledge of coding to create a smart contract in the Pact language. This makes it easier for a person to start their programming journey with pact, and allows for younger people to start developing their own crypto apps which might not have been possible on solidity.
Kadena Eco
Kadena Eco, this is basically their incentive to create dapps on their platform. Kadena has a $100 million fund in which they will be using to give money to developers which show potential and will improve the Kadena network overall. The application process is open to all developers and they are looking for basically anything from gaming to De-Fi. They mentioned they would like a metaverse, NFT’s, Web3 and DAO to try out for the grant. They judge their applications on 4 main things, these are technical strength, detail of specification, team experience and usefulness to the Kadena network. This Eco grant has produced many great projects on their blockchain. They obviously have a desktop wallet which is called chain weaver, they have created a web extension wallet like metamask called x-wallet. They have links into the zelcore wallet due to Flux and Kadena being connected through parallel assets. One of the best things to come out of development is the Kaddex exchange which is the first gas free DEX and it’s built on the Kadena blockchain. They also have a payment system built in where you can pay for real world stuff using the Zoidpay app, so any shop that chooses to use Zoidpay will allow you to spend Kadena. Next they have Kadena marmalade which is their complete infrastructure for an NFT market place. Basically you could have anything built on this blockchain, and they are looking to fund any team that has a good idea in regards to Kadena. One of the things i’m interested in is the Kadenabat app. This is a Web3 betting exchange in which you can bet coins and such, they are building a secure exchange with 21 major sports in which you can bet on. Overall they have good development on to their network and in the future we will see this being added to with new innovative ideas.
Mining Kadena
Kadena can only be mined using an ASIC miner, this means no GPU mining. Pretty much most of the Kadena miners out there are made by Goldshell but I don’t really agree with their price points for Kadena miners, so if you’re thinking of getting into mining then look around for better miners. I would recommend fastminers.io because they have their own ASIC kadena miner on there that is relatively cheap. Even with the crypto crash all the old kadena miners still make profits as of right now. The algorithm for Kadena is called Blake2S, we have a block time of 3 seconds, a block reward of 1.0566 KDA and we are looking at around 7000 miners on the network. Right now there aren’t many options for pools when it comes to mining, we have an option of 7 pools and only 4 of them are worldwide. The max supply of kadena that can be mined is 1 billion coins and so far only 184 million has been mined, so we are still in early stages of mining this coin. With the circulating supply being very low I think it’s a great time to mine right now. The coin’s price right now is sitting at around $2 which is extremely cheap seemining it was at $24 per coin a few months back, I personally don’t put the value at $24 per coin. I’m more thinking $8-$10 suits this coin better. If kadena continues to keep producing and developing the coin out then we can definity see it reach up to $100 in the next bull run. The market cap is at around $350 million, so it’s got room to hit billion dollar market cap and the price of the coin can still go up. If you need some price points in which you should be buying kadena at there is a really good download from Ryan Matta, all you have to do is subscribe to his channel then go you his website and sign up to his newsletter, from there it will give you a download for a google sheets which tells you what price you should be buying at and how much you should be buying.
