Kava turns bullish as Ethereum Co-Chain launch initiates push toward EVM compatibility

The increased focus on Blockchain interoperability with the Ethereum network has led to significant growth in protocols in the Cosmos ecosystem.

Kava, which is working on a co-chain architecture to the Cosmos and Ethereum networks, has been gaining momentum since March.

Cointelegraph Markets Pro and TradingView data show that Kava’s native token KAVA is up 72.3%. It had fallen to $2.92 on March 13, and then soared to $5.03 per day on April 8.

KAVA/USDT 1-day chart. Source: TradingView

The Ethereum Co-Chain beta release, the $750 million developer incentive program, and a series partnerships and protocol launches have all contributed to the KAVA ecosystem’s growth in size and price.

Beta launch of Ethereum Co-chain

The successful completion of the alpha stage of the Ethereum Cochain launch was one of the most anticipated developments in the Kava ecosystem.

The Ethereum Co-Chain Alpha was amazing! Beta is now LIVE and already a powerhouse. Mainnet launches May 10th, 2022! #Kava #EVM pic.twitter.com/tnfyAkeLoN
— Kava Network (@kava_platform) April 7, 2022

The Ethereum Co-Chain supports Ethereum Virtual Machine (EVM), while the Cosmos Co-Chain allows support for the Tendermint consensus engines and the Inter Blockchain Communication Protocol. The translator module allows seamless interoperability among the co-chains.

The Ethereum Co-Chain’s mainnet launch is scheduled for May 10.

Kava launches $750 million incentive program for developers

Kava Rise launched March 3, a $750m incentive program for developers. It was designed to help them onboard from gaming, decentralized finance (DeFi), and other non-fungible projects into Kava. This is another reason for KAVA’s strength.

Kava Rise, an on-chain incentive mechanism, will distribute 62.5% all block rewards to developers building on Kava’s Ethereum and Cosmos Co-Chains. This is part of the protocol’s efforts to become a builder-owned system. Stakers will receive the remaining 37.5% block rewards.

The Kava 10 upgrade will bring the incentive program online. This upgrade will also launch the Cosmos and Ethereum CoChains on Kava’s mainnet.

Related: Why Cosmos (ATOM), price is at an all-time high

Launches of new partnerships and protocols

The addition of new protocols and partnerships for the Kava network is another factor that has helped to increase demand for KAVA.

The Kava co-chain architecture has some of the most recent protocols, including the NFT marketplace OpenBiSea and the Decentralized Finance Launchpad DexPad.

Kava also recently launched the multichain DeFi lending protocol ForTube and the Ruby Protocol, which bring the first algorithmic stablecoin (ETH) to the Kava Ethereum Virtual Machine.

VORTECS(tm), data from Cointelegraph Markets Pro, began to detect a bullish outlook on KAVA as of April 1, before the recent price increase.

Cointelegraph’s exclusive VORTECS(tm), Score is an algorithmic comparison between historical and current market conditions. It is derived from a combination data points, including trading volume, market sentiment and recent price movements, as well as Twitter activity.

VORTECS(tm), Score (green) vs. KAVA Price. Source: Cointelegraph Markets Pro

The chart shows that the VORTECS(tm), Score for KAVA started to increase on April 1. This was approximately 94 hours after the price spiked 25% the following three days.

com. You should do your research before making any investment or trading decision.
https://cointelegraph.com/news/kava-turns-bullish-as-ethereum-co-chain-launch-initiates-push-toward-evm-compatibility

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