Coinbase – the San Fransisco-based crypto exchange – will list Kyber Network Crystals (KNC) on Coinbase Pro. KNC tokens are the native asset to Kyber Network, one of the leading DeFi liquidity protocols powering instant and secure DEX trading.
Starting on February 24th, Coinbase Pro customers will be able to deposit KNC into the exchange where trading will begin the following day (assuming liquidity conditions are met). Support for KNC will be available for all of Coinbase’s supported jurisdictions, with the exception of New York State and the United Kingdom.
On Monday, February 24, our KNC/USD, and KNC/BTC order books will enter transfer-only mode, accepting inbound transfers of KNC in supported regions. Orders cannot be placed or filled. Order books will be in transfer-only mode for a minimum of 12 hours. https://t.co/J026rDnr4k
— Coinbase Pro (@CoinbasePro) February 19, 2020
Once the sufficient supply of KNC is met, trading will begin with KNC/USD and KNC/BTC pairs, beginning with post-only mode and proceeding to full trading on the contingency that all metrics for a healthy, sustainable market have been met.
It is important to note that KNC will not be available directly on Coinbase.com or through the consumer mobile application. Users will only be able to buy and sell KNC via Coinbase Pro – its exchange for sophisticated crypto traders.
Kyber Continues its Growth
Since the news broke earlier this week, KNC tokens have soared +20% on the open market – a rather normal occurrence for tokens listing on the leading US exchange. With that, KNC tokens have been one of the best-performing assets in 2020, surging +222% year-to-date.
With the announcement, Kyber is setting the precedent to have an exciting year ahead. The liquidity protocol has continued to break personal-records on volumes, week after week. According to the most recent ecosystem report, Kyber saw its highest monthly trade numbers since mainnet launch, reaching nearly 56,000 trades in December across ~7,000 addresses.
The liquidity protocol traded 303k ETH in the month of December alone, reaching over $125M in total volume in Q4 of 2019. It should go without saying that at this point, the Kyber ecosystem is growing at a rapid pace, with protocol integrations reaching all-time highs.
To get a full rundown on the most recent ecosystem report and its encompassing growth, feel free to reference the article here.
In the coming months, Kyber will implement Katalyst – a completely new upgrade on the KNC token model along with the introduction of KyberDAO. In short, tokenholders can look forward to the following upgrades:
- Staking Rewards – KNC holders receive network fees relative to how many tokens are staked.
- DAO Governance – KNC will be used to govern KyberDAO, a new mechanism for determining major protocol roles such as network fees, burning ratios and reserve incentives.
- Reserve Rebates – Reserve managers will be granted rewards based on the amount of liquidity they provide to the platform.
- Easier Onboarding – Reserve managers will no longer be required to maintain a KNC balance to provide reserves to the protocol.
- Custom Fees – Developers will now be able to set their own fees, rather than following Kyber’s preexisting fee-sharing schema (30% of the 0.25% fee)
The new upgrade should streamline rewards and incentives throughout the ecosystem as a whole. The fact that Kyber has taken a serious stance on its utility token, in an age where many ICO tokens are near-zero and untouched, it’s refreshing to see Kyber looking to capitalize on its growth in liquidity by re-tailoring incentives and economics to capture the growth into its native token.
The introduction of KyberDAO also serves as another vital piece to this transition. By implementing a decentralized autonomous organization , tokenholders will have more control over the protocol rather than relying entirely on the core team to direct the trajectory of the project.
— Kyber Network (@KyberNetwork) February 20, 2020
All in all, 2020 is set to be an exciting year for Kyber Network. The explosive growth in the liquidity protocol along with the token economic rework is beginning to take notice as the asset becomes one of the best performing DeFi tokens in the sector to date.
Coinbase Pro’s listing on KNC signals that the protocol and its native asset are beginning to establish itself as a vital piece to the proliferation of DeFi.
To keep up with Kyber Network, we suggest following their Twitter here.
Analyst at Bankless – one of the leading resources for open finance. Lucas is an active contributor to the DeFi ecosystem with appearances in other notable DeFi outlets including The Defiant and Our Network. He has years of experience working with dozens blockchain and token startups where he focused on token economics, marketing, and growth.