KAVA Price today

Kava is a cross-chain DeFi system that provides traditional financial services that are completely decentralized, secure, and transparent. Kava operates using smart contracts and not through any intermediaries. Many companies have integrated with Kava’s Decentralized Finance platform to allow users to invest, lend, and earn with cryptocurrencies.

Kava is built on top of Cosmos and works with a PoS consensus mechanism, Kava uses a CDP (Collateralized Debt Position) system to ensure stablecoin loans are always fully collateralized. If the borrower fails to maintain their collateral above the required threshold, the Kava liquidation module will seize the collateral from the failed CDPs and send it to the auction module for sale.

Kava is a token of the Kava Network ecosystem, designed with the main functions including Onchain Governance and Network Security, and is used for the following purposes:

• Used as transaction fee.
• Used to administer the mortgage debt system.
• Used as block rewards for Delegators, Validators.