Cosmos blockchain this week released its Inter-Blockchain Communication (IBC) protocol allowing Cosmos to bridge the gap to other blockchains, allowing for information transfers over decentralized networks. As the native DeFi solution and DeFi hub of Cosmos, this upgrade will bring tremendous potential to Kava upon the integration of IBC.
“Kava’s adoption of IBC will bring key financial building blocks to the Interchain. We’re very excited to see the first economic flows between Kava, the Cosmos Hub, and a wave of IBC chains coming online this year,” Billy Rennekamp, BOM and grants manager of the Interchain Foundation said.
As the primary decentralized finance protocol to support the Cosmos network, Kava has allowed users to earn rewards on cryptocurrency deposits like BNB, XRP, and others. The Kava team has established decentralized bridges to Bitcoin and Ethereum and to improve security measures., the company said.
Kava has also brought Chainlink’s price oracle technology to Cosmos as the exclusive provider, bridging access to price feed data to the more than 100 blockchains within the ecosystem.
Faster encoding and quicker transactions are just a couple of the benefits provided by the Cosmos Stargate upgrade, the company said. For nodes, this means upgrade processes are cut down from weeks to hours. Letting all nodes upgrade faster more rapidly makes it easier for Kava developers to introduce new features and options.
“With over $225M in collateral deposits on Kava and almost $1B in assets managed by Kava, we are very cautious with