Kava, the decentralized finance (DeFi) platform, has announced that it will host a cross-chain money market on its Cosmos blockchain to capitalize on DeFi opportunities.
It has been reported that Kava stated in a statement on its website that it wants to build an application called “Harvest” that will enable users to borrow or lend digital assets, including BTC, CRP, BNB, BUSD, KAVA, and USDX.
However, customers will be paid interest and in Harvest’s governance token HARD. Harvest will integrate Kava price-reference data from Chainlink to facilitate cross-chain transfers.
Welcome to https://t.co/8B63CAfZVC the world's first cross-chain money market built on the Kava blockchain. With Harvest you can now lend, borrow, and earn on major crypto assets including BTC, XRP, BNB, USDX, and KAVA. Read how Harvest helps you earn:https://t.co/oirkNWmAkF — Harvest.io (@harvest_io) September 18, 2020
The firm said that the platform could be accessed “by anyone anywhere” as it’s open and permissionless. Harvest ideally will help integrate “financial market stakeholders in niches not limited to fintech apps, exchanges, and financial institutions.”
Likewise, Kava said that it will release more applications leveraging its blockchain for DeFi products, as Harvest takes advantage of Kava’s mainnet upgrade.
"@Harvest_io will enable users to borrow or lend digital assets, including $BTC, $CRP, $BNB, $BUSD, $KAVA, and $USDX. Customers will be paid interest and in Harvest’s governance token HARD," reports @CoinTelegraph. Read the full #cryptonews article below.https://t.co/tjsEAzTRC8 — Kava Labs (@kava_labs) September 21, 2020
Brian Kerr, the CEO and co-founder of Kava, said that it was important that the company offer a governance token. It’s governance token, HARD, “will harmonize decentralized activities within [the] lending and borrowing ecosystem.”
He added:
“Importantly, this foundation provides developers with the ability to quickly build applications on Kava’s open decentralized network while being able to leverage its security, cross-chain bridges, and other infrastructure that would otherwise cost millions and take years to develop independently.”
The report said that Harvest users holding HARD will also be able to manage reward distribution in the network and choose which digital assets can be featured.
Thus, Kava said 20% of the total amount of HARD tokens to Kava stakers over the next few years.
Source: Cointelegraph | Image: Medium