What is Kujira Protocol? This is a question that many people are asking after the recent release of the Kujira coin. Kujira Protocol is a decentralized network that allows for the exchange of digital assets. The goal of this protocol is to create a more efficient and secure way to conduct transactions online. In this blog post, we will discuss everything that we know about Kujira Crypto and its underlying protocol.
What is Kujira Protocol?
Kujira is a new Layer 1 blockchain launched very recently that aims to build something unique. What the team calls it is “Grown-up DeFi”. Although a very strong statement to make, they are certainly in the right direction.
Over the past couple of years, we’ve seen many blockchain networks and protocols suffering from inflationary unsustainable economic models. That’s where Kujira comes into the picture. They are aiming in building Decentralized Finance based on long-term sustainable models.
For the DeFi to be truly transformative, the thinking goes, it should be possible to generate income when the market is up and down. They are dedicated to assisting regular investors in going beyond Exchanges, Staking, and ICOs in order to open up possibilities that were previously available only to whales and elites.
The goal of the project is to create tools that are simple and cheap to use for everyone, from novices to expert traders, regardless of their preferred blockchain. Kujira is committed to leveling the playing field in decentralized finance by building dApps for regular crypto users.
Most importantly, the team aims to put a stop to scammers and ill-intentioned individuals by introducing a semi-permissioned model. A formal governance body will have the final say on what is deployed on the network. That’s a huge step forward in protecting the average investor and user.
Although this might be seen by some as going against the ideas of decentralization. That’s wrong. Having a decentralized forum to decide on what’s going live is perfectly aligned with the ideas of decentralization and it is actually taking us one step closer to wider adoption.
Kujira is already home to over 50,000 active users and a vibrant Twitter, Discord, and Telegram community, making it an excellent place to start.
Brief History of Kujira Protocol
Kujira was founded in Q4 2021 on the Terra blockchain (now Terra Classic). They began as a liquidation firm. The crew was not satisfied with simply providing their customers an outstanding liquidation experience; they wanted to go cross-chain. In addition, Kujira incorporated Beluga, which allows you to send assets to numerous addresses in one transaction.
Moving on to the Terra debacle. The team was busy preparing for the debut of their new DEX, FIN. This would be the first order-book style DEX on Terra, and it would provide a similar user experience to a centralized exchange. Think Binance but decentralized. Polkadex and Dexalot, respectively, on Polkadot and Avalanche networks
It would not be straightforward, as the chain was breaking down as UST had died and the team was making one error after another, and we all remember the outcomes.
The team didn’t waste any time or money, and Kujira was quickly developed. They made the decision to construct their own chain on Cosmos using Tendermint and be IBC compatible as soon as they found out about the Luna drama. It took the crew approximately two months to build a brand new chain.
Worthy of note, many of the features from Terra classic have not yet migrated to Terra V2 (if that was their choice) which is remarkable given the two chains were identical. Kujira has already created a brand new chain, and they aren’t slowing down. The protocols of the original Terra chain now have a new home if they wish to do so. It’s called Kujira.
How is Kujira Protocol different?
Kujira protocol has three main characteristics. It is semi-permissioned, incorporates an on-chain scheduler, and provides a native token generation. Let’s look into one by one of those characteristics as defined by the team.
To be accepted on Kujira, a contract must be voted in by the community via governance. This protects the quality, sustainability, and longevity of the network. A revenue-generating hub with superior UX that is close-knit. That’s where the “Grown-up DeFi” term is derived from. No more meme tokens, scams, or protocols for teams to make a quick profit from unsuspected investors.
On-chain scheduling allows protocols to be designed without the need for bots. This means there are far fewer useless transactions. Protocols may be designed to operate more smoothly, and fees that were formerly used to kickstart bot activity can now be paid back to network users.
Native Token Generation
Developers of smart contracts no longer need to manage two separate entry points into their contracts, only having to design for a native “denom.” As a result, every token on the network will be a native Cosmos token, and KUJI stakers will earn compensation from liquidation and trading revenues (with more to come).
Kujira Main Protocols
The first and only public marketplace for liquidated collateral is Island Crypto. It’s no longer just a game for robots. You may now participate in securing your favorite assets while also saving money on them (and earning interest while you wait). Orca allows users to liquidate multiple assets across the whole Cosmos ecosystem in a straightforward way.
The heart of the Kujira ecosystem is this. It’s where you may participate in developing the protocol’s future by participating on the Governance Board. You can also stake KUJI to earn a share of Kujira’s income at this location.
BLUE provides users with a dashboard where users can do anything Kujira-related. Swap tokens, vote for governance, bridge tokens, and claim rewards are among the many things someone can do on Kujira Blue.
FIN is the Cosmos’ first decentralized, permissionless, and 100% on-chain order-book style cryptocurrency.
Liquidity pools, according to the team, are no longer fit for purpose. FIN creates a fully decentralized trading experience that eliminates the need for inflationary incentives and bots, as well as the danger of irreversible loss. It provides a real-time user experience for crypto users to trade in an environment familiar to them while minimizing risks.
Concluding, Kujira Protocol is a Cosmos-based chain that offers an on-chain scheduler, native token generation, and semi-permissioned governance. The team behind the project aims to provide a more mature DeFi experience for users with features such as their Orca marketplace and FIN decentralized exchange.
The team has the right ideas in place and a great vision, only time will tell how this project develops.