Music Thank you. Music Thank you. Thank you. Hey everyone, Raghu, let's do a quick mic check.
Let's give it another minute for the space to fill up and then we'll start. Thank you. All right, I think we can give it a go.
Welcome everyone. This is the first but probably one of many Kava community AMA spaces that we will be doing.
We will try to do these bi-weekly as we kind of transition into a mature network and there
will probably be a lot of questions from the community.
We are joined by Raghu who is a dev rel at Kava.
Raghu, why don't you introduce yourself and maybe give like also like a short explainer
on why we have gathered here.
Very good morning to all of you
and thanks for joining the space.
I've been in the Web3 space as a developer
for about eight years now.
Currently, I'm the devrel at Kava,
helping developers build apps on the Kava blockchain.
Now, today we have gathered here
to understand more about the proposal we have raised.
And this is in regards to the transition of Kava to a more mature network.
As we all know, the landscape of crypto is changing and we are getting into a more mature ecosystem.
And Kava wants to be prepared for the future.
And it's a series of decisions that are to be taken along with the community.
And we are here for explanation and clarification of a few questions that the community might have about the proposal.
Amazing. Thank you, Raghu.
Maybe just a quick note, how this spaces will go.
We have shared a forum with our community a few days ago to gather questions.
And we have, yeah, there were nine community members who have asked questions. So we'll go through those nine questions first,
and then we'll open the floor to others who want to ask additional questions.
Yeah, let's go to the questions.
So the first one was, willava land gava swap and gava mint continue to be
incentivized going forward or is there a plan to phase these out and to focus on ai
okay so gava land gava swap mint and the protocols that we have remain very important to the
Kava community and they'll continue to operate.
While incentives may shift over time depending on usage and where they drive the most value,
there's no plan to shut down any of these protocols.
In fact, moving to the mature network, it is an additive lens that we are adding we're adding rails for ai rwas
and institutional use alongside existing d5 and the incentives that we have not trying to replace it
love it um the second question is what technological or management innovations will be priorities as cover transitions to a more mature network?
Specifically, how do you plan to support cross-chain compatibility and growth in the DeFi ecosystem?
Sure. As a network and as a DevRel myself,
we focus and prioritize developers and developer experience a lot.
In fact, our current technical priorities are practical
and very developer-oriented.
We focus on interoperability between Cosmos
and the EVM compatibility that we have.
Kava is a Cosmos plus an EVM compatible chain,
and that brings a lot of interoperability.
We are strengthening that part of the chain.
We are focusing on reliability,
where we invest in infrastructure like RPCs,
indexing, node operations,
and we are improving predictable performance of the chain itself and then
these will bring more stable rails for AI and RWS to be built on the chain itself.
Then the focus is on developer experience as well plus maintaining standards. We are focusing on
writing clear documentation, giving them consistent tooling and having some programmatic
processes that reduce friction for teams shipping in everything like DeFi, AI, RWAs and whatnots.
Now cross-chain growth is served by doing these really well, a combination of interoperability,
reliability and a good developer experience we believe so
d5 builders get familiar with ethereum tooling with cosmos grade interoperability and on the
other hand institutions they get stable and legible infrastructure from us that's the power of kava as the chain.
How do initiatives like CarverRise program and
incentives or features for such programs in the future?
What we are aiming to achieve is for there to be an evolution in terms of getting new
missions, new structured incentives for the users and features that align with the long term ecosystem
health itself. Now the goal is to continue creating adoption and driving resources including
funds into ecosystem projects that mature along with the network. So our focus is there for sure
and the KavaRise program and hard.fund platform further will engage users and incentivize
users who are on there already now regarding features we'll be having future announcements
regarding the same amazing thank you and then question. Does the foundation have any plans to burn its token supply in the future to reduce the circulating supply? What do you think?
The focus of the foundation now and from the beginning has been on strengthening governance, including securing the treasury, enabling real world adoption by strengthening the ecosystem.
Any changes to the token supply, including burns and other decisions, would require an ecosystem governance process. It's not a foundation decision.
We are very clear about decentralization aspect of the chain, and that stands even after the mature framework decision.
I think this one is regarding our next proposal that's going out.
So the person asks, why is professional custody better than a module wallet?
To understand it better, we need to understand how the technical architecture of this modules within a Cosmos network itself, right?
A Cosmos chain is made of modules. You plug and play different modules in order to enable features of a chain.
We have the community module, the community module, banking module, EVM is a module itself.
Together, that forms the Kawa chain.
Now, if you look at the existing module wallet,
that's just code written and it cannot be modified.
It's on the blockchain and all the goodies
that come with decentralization, right?
Now, since it is just code, this module wallet,
it cannot perform some operations. Like it cannot open a custody account.
It cannot sign an agreement on someone's behalf.
It cannot negotiate a service level contract or it cannot file a claim if something goes wrong with the counterparty.
Whereas the foundation can do all of these things as a responsible steward, let's say, for the funds.
By moving earmarked funds into the foundation, we unlock professional gate custody with standard operational controls.
This enables professional control such as withdrawal policies, segregation of duties, and other safeguards that reduce reduce the operational risk let's say now it's important to
note that this doesn't touch the governance part of it at all all the decisions the parameters
and upgrades remain fully on chain and every moment of funds is still visible on chain
what changes is that these earmarked assets and funds are stewarded with a professional safeguard, not just left sitting in a faceless module, which is just code.
This next one is actually a great follow-up on the previous question.
A great follow-up on the previous question.
How does this give institutions a real counterparty and address jurisdictional risk?
Okay, if I understand the question correctly, how does this give the institutions or reduce
their counterparty risk, let's say?
That's the basis of it now for
this we need to understand what kind of institutions we are dealing with we're dealing
with exchanges stablecoin issuers rwa providers and all of these institutions when they come
come for a conversation and before they agree on something they first perform due diligence and they expect to see a kyc legally recognized counterparty right the community pool doesn't
offer that because it's just code it's just a module wallet it does not have a legal entity
behind it but the foundation does that and hence that reduces counterparty risk and these institutions have someone to due diligence on and to interact with.
We are not claiming future regulatory approval or promising outcomes that we can't control.
What this just means is that Kawa becomes legible to institutions.
It gives them a party they can actually transact with while the network itself remains neutral
In practice, this makes Kava table stakes ready for the type of partners we want to
Many projects cannot really say this, I think.
Thank you for the interview.
Next question, I think we have one, two, three left.
What does decentralization look like in practice here for GAVA?
Okay, regarding the funds itself, right?
Imagine having a large balance parked in one non-chain wallet address.
That doesn't look like decentralization at all, right?
It looks and behaves like concentration, more of it.
Decentralization in practice means distributing resources towards real-world usage,
reducing visible concentration, and supporting broader participation.
By moving these funds into the foundation, we are aligning with the mature network framework.
Instead of assets sitting idly in one wallet, they can be applied responsibly over time
to support resilience and participation across the ecosystem.
This is what matured, decentralized networks
Yeah, I just, I just pinned the tweet
of us sharing the framework
for a fully mature and decentralized network.
If people want to check it out and read it to have more context on what we're discussing here.
Okay, so two more questions.
How does this approach remove a common blocker to market access?
If we look at the institutions like exchanges and other counterparties we are dealing with,
they ask two questions up front. Who can we contract with and how are the funds handled?
If the answer is an anonymous module then the conversation
immediately ends there but the foundation as a custodian we can provide a response that
institutions can recognize funds are managed with professional custody standard controls are in
place and there is a legible counterparty available for them to transact with this doesn't guarantee a specific partnership or integration but but
it does remove an automatic no from the counterparty right when an exchange listens this
they are ready to move to the next step at least it uh it removes the blocker in that sense it
makes it easier to begin conversations and reduces the friction when dealing with
legitimate regulated partners like
exchanges. Awesome and then yeah last question is this about consolidating responsibility and not control? For sure, yes, exactly.
The foundation is not taking over governance here.
We just are taking over the responsibility on stewardship.
Governance stays exactly as it is today,
on-chain and community-driven and visible to everyone.
Any future transfers from the community pool
will still require a governance vote.
What the foundation is taking on is responsibility.
It becomes the steward that can execute quickly, apply standard controls, and consult with stakeholders whenever there is a need.
This provides faster execution and clearer accountability, all without changing the rules of the chain.
consolidated while decision making remains distributed let's say.
Amazing thank you Raghu. That was it for the questions from the community that were provided before the space if there are any remaining questions if
somebody wants more clearance or something raise your hand I will get you
on I will give it like four minutes if there is nobody then we will call it but
yeah let's wait and see if there's anyone who has questions
oh wait there are actually questions um what is the alternative to the cosmos you are looking at
Oh wait, there are actually questions
is one of the questions in the comments um of this space i forgot to check that one
sure i'm just looking at it
can you read the question please i am not seeing the question sorry
uh what is the alternative to the cosmos uh you are looking at
we're not looking for an alternative to cosmos it's uh kava is a cosmos chain and it will remain a cosmos chain with evm compatibility and that will remain what we are
just changing is uh taking funds from a module wallet and moving it to the foundation so that we can manage it better cool there's one request
let's see the visible you can speak now i think is connecting well he's connecting there's another question asking what will happen to hard protocol maybe you can answer that while
we wait no changes no decisions have been made regarding the hard protocol it
will remain as such until further announcements are made from kava
okay and i think yeah um the person wasn't able to connect
i don't see any more questions
um okay perfect i think that's it then. Thank you everyone for tuning in.
Ragu, thank you for answering the questions
and giving people more clarity on what we're doing here at Kav.
Have a great day, everyone.
Thanks everyone for your time.