BTCS Adds Kava to its Blockchain Infrastructure Operations
April 27 2022 - 8:31AM
BTCS Inc. (Nasdaq: BTCS) (“BTCS” or the “Company”), a blockchain
technology-focused company, announces the addition of Kava (“Kava”)
to its blockchain infrastructure operations. Growing from a $3M
Initial Exchange Offering in 2019, Kava is now a $913M layer-1
blockchain protocol with a decentralized lending platform at its
core.
What is Kava?Kava is the native
token of the Kava.io platform, which allows users to borrow the
stable coin, USDX, and deposit a robust variety of other digital
assets to earn a high yield. Kava uses price oracles to maintain
the USDX price with the U.S. dollar. Price oracles can be thought
of as data feeding bridges that are able to receive pricing
information from the outside world and bring that data to a
network.
In addition to decentralized lending, Kava is
used for validator rewards that are distributed for maintaining the
network. Kava can also be staked to earn voting rights that can
determine proposal outcomes such as expansion decisions, new crypto
asset support, and new features on the platform.
Kava’s Unique “One Network, Two Chains”
ApproachKava takes a cross-chain approach to decentralized
finance (“DeFi”). Upon its launch, it became the first DeFi project
deployed on the Cosmos blockchain. Instead of just relying on one
cryptocurrency, Kava allows its users to leverage and hedge almost
any asset that they want, supporting a multitude of different
assets. Yet, despite being built on Cosmos, Kava supports Ethereum
by enabling Ethereum’s developers and decentralized applications to
build on the Kava platform. To this end, Kava founded a $750M
initiative called Kava Rise aimed at onboarding developers to its
platform.
“Kava’s cross-chain infrastructure speaks to a
major part of the BTCS mission because it runs on two different
Proof-of-Stake blockchain networks already supported by our
infrastructure operations – Cosmos and Ethereum,” Michael
Prevoznik, Chief Financial Officer of BTCS, said.
In addition to holding 250,543 Kava with a fair
market value of approximately $1.3M, the Company secures Ethereum’s
consensus layer by running 240 Ethereum validator nodes, which is
similar to Bitcoin mining, and has staked 8,213 ETH. Further, the
Company has staked 83,716 ATOM, the native token of Cosmos.
BTCS Kava Validator
Node Generating Revenue In addition to
generating revenue by running a Kava validator node, BTCS has
completed the technical work to integrate Kava into its planned
staking-as-a-service platform once launched. The process of
blockchain validation includes special intellectual property (IP),
technical know-how, and regular maintenance to ensure efficiency.
Staking allows users to generate an annual percentage yield (“APY”)
on their staked assets whereas validator node operators charge a
fee on users’ staked asset rewards in addition to earning an APY on
staked crypto. The highly scalable nature of both staking Kava as
well as allowing users to stake Kava to earn token rewards is the
premise behind BTCS’ Staking-as-a-Service platform that is
currently being developed.
About BTCS:BTCS is an early
mover in the blockchain and digital asset ecosystem, and the first
“Pure Play” U.S. publicly traded company focused on blockchain
infrastructure and technology. Through its blockchain
infrastructure operations, the Company secures Proof-of-Stake
blockchains by actively validating blockchain transactions and is
rewarded with native digital tokens. The Company is developing a
proprietary Staking-as-a-Service platform to allow users to stake
and delegate supported cryptocurrencies through a non-custodial
platform, which it plans to integrate with its Digital Asset
Dashboard, now in beta release. BTCS’ proprietary Digital Asset
Platform currently supports six exchanges and over 800 digital
assets, and the Company plans to further broaden its suite of
performance-tracking tools, add additional centralized and
decentralized exchanges, as well as wallets, and stake pool
monitoring. For more information visit: www.btcs.com.
Cautionary Note Regarding
Forward-Looking Statements. Certain statements in this
press release, constitute “forward-looking statements” within the
meaning of the federal securities laws including statements
including its plans for its staking as a service platform and its
non-custodial platform. Words such as “may,” “might,” “will,”
“should,” “believe,” “expect,” “anticipate,” “estimate,”
“continue,” “predict,” “forecast,” “project,” “plan,” “intend” or
similar expressions, or statements regarding intent, belief, or
current expectations, are forward-looking statements. While the
Company believes these forward-looking statements are reasonable,
undue reliance should not be placed on any such forward-looking
statements, which are based on information available to us on the
date of this release. These forward-looking statements are based
upon current estimates and assumptions and are subject to various
risks and uncertainties, including without limitation the rewards
and costs associated with staking or validating transactions on
blockchains, continued drop in crypto prices, significant decrease
in value of our digital assets and rewards while locked up, loss or
theft of the private withdrawal keys resulting in the complete loss
of digital assets and reward, unanticipated issues which delay the
development of our platforms, and regulatory issues as it relates
to our planned platform and activities as well as risks set forth
in the Company’s filings with the Securities and Exchange
Commission including its Form 10-K for the year ended December 31,
2021. Thus, actual results could be materially different. The
Company expressly disclaims any obligation to update or alter
statements whether as a result of new information, future events or
otherwise, except as required by law.
Investor Relations: Dave Gentry RedChip
Companies, Inc. Phone: (407) 491-4498btcs@redchip.com
Public Relations:Mercy
Chikoworem.chikowore@btcs.com
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