Reshab AgarwalKusama has recently rallied to a new all-time high as rumors regarding the network upgrades surface. The protocol is based on Polkadot’s network and is made to bring a scalable and interoperable framework to developers. There has been so much positive news regarding the protocol that even though the market tumbled a couple of days, the token increased by 55%. The price movement has been drastic and shows how news impacts the market.
The new upgrades coming to Kusama
On 12th May, Kusama developers confirmed that there were new upgrades that were coming to the network. Plus, the perks that the token is bringing in terms of staking and locking up one’s holdings is amazing. There are many ideas surrounding the parachains that could arrive at Kusama. The teams have asked the holders to vote for the same. It could be crowd loans, auctions, and more. And this voting method also led to an increase in the demand for the token. This is because only holders can participate in the same.
While typically most tokens give out small returns on staking, Kusama has an average return of 13%-14%. This was also a major reason for its price growth and led to a significant amount of coins being locked up in the network. The teams have been planning to step up a crowd loan system to let users bond their tokens with the network and received native token rewards. After the lease period is over, the locked tokens with the rewards will be returned to the users, but here, there won’t be any staking rewards.
Should one invest in Kusama?
The kind of staking and yield opportunities that Kusama is bringing is game-changing. It has many planned upgrades, and that means hodlers will actually benefit if things go right. Yes, there are risks involved with any upgrades, but the integration with Chainlink, which is also another promising token, is also a big thing. This integration brings the capabilities of smart contracts and many other applications to the system. So, yes, I do think it is a good investment but do your own research and invest at your own risk.
What are your thoughts on the huge price increase of the Kusama token in the last few days? And have you invested in it? Let us know in the comments below. Also, if you found our content informative, do like it and share it with your friends.
Also Read: You can now pay for amenities using Bitcoin in North Dakota