Kava, built on the Cosmos SDK, is planning an integration with Cosmos’s recently launched Inter-Blockchain Communication Protocol (IBC). Kava will then use IBC to make Chainlink’s decentralized data feeds available to blockchains across the wider Cosmos ecosystem.
Kava first integrated Chainlink back in May of 2020. Onboarding Chainlink Price Reference Data oracles onto the Kava blockchain has provided a valuable service to all users of its DeFi ecosystem. As more financial institutions make their way to Kava, direct on-chain access to real-time and tamper-resistant data will prove increasingly beneficial to everyone.
The Defi space has undergone a tremendous transformation over the past 12 months. By evolving this landscape through the Inter-Blockchain Communication (IBC) protocol, Cosmos and Kava are set to see a substantial influx of new users, partners, and financial institutions.
Kava is built on the Cosmos SDK, allowing it to benefit from the recently announced IBC protocol launch within the Cosmos ecosystem. Every network under the Cosmos banner can use IBC to gain the ability to communicate with one another. Doing so will unlock an unprecedented level of interoperability, liquidity, and access to decentralized finance solutions.
Kava has been safely secured by Chainlink since the beginning,” CEO Brian Kerr said. “Now with over $300M in collateral deposits and $1B in assets managed by the Kava software, it remains as secure as ever thanks to Chainlink. As the major DeFi Hub of the Cosmos ecosystem with a full Chainlink implementation, Kava will use IBC to provide secure Chainlink data to hundreds of blockchains via IBC going forward.”
With more than 200 blockchains building on the Cosmos framework today, the IBC upgrade will play a significant role in the future. For Kava, it is beneficial to unlock more DeFi liquidity across these blockchains, bringing decentralized finance to more users. Today, there are billions of dollars in value across the Cosmos-based blockchains, all of which will benefit from accurate real-time data provided by Chainlink’s oracles.
As financial institutions begin to show an appreciation for decentralized finance solutions, the role of Kava will become more critical than ever. As one of the only cross-chain DeFi protocols in existence today, the integration of IBC will broaden this project’s appeal.
”We look forward to continuing to provide trusted DeFi data feeds to the Kava blockchain to meet growing market demand. Now thanks to the IBC upgrade, Kava can make Chainlink data easily available to the wider and growing Cosmos ecosystem to enable a more robust and novel set of DeFi applications,”stated Daniel Kochis, head of Chainlink Business Development.
Kava is not just a traditional DeFi solution for minting USDX, as the developers have also brought together the HARD Protocol money market. Every service and product under the Kava banner uses Chainlink Price Feed oracles to access accurate and real-time data, bringing best-in-industry security to the data triggering Kava applications and setting a foundation for it to scale to secure much more value in the future.
