The volume of tokens provided to Kyber Network staking on the first day approached 6% of the issue
KNC token holders contributed $ 16.7 million for staking within 24 hours of the Kyber Network opportunity. Kyber hosted one of the largest Initial Coin Offerings (ICOs) in 2017, raising $ 60 million to develop a decentralized liquidity protocol, and its highly anticipated Katalyst update took place this week..
As the co-founder of Kyber Loy Luu notes on Twitter, during the first day the volume of tokens recorded in staking reached 10.42 million KNC.
Since the end of April, on expectations of the launch of staking, the price of KNC has more than tripled, and since the beginning of the year – by 800%. It corrected by 10% relative to the local peak. The gradual rise in the rate could have been facilitated by wide public coverage of the planned update, which distinguishes KNC, from, for example, COMP, the price of which increased sharply immediately after the release of the token into circulation.
At the same time, there is an increase in activity in the Kyber protocol – last week there was a record number of transactions made with KNC within one day. With a total issue of 182 million, 5.7% of KNC were staked.
By participating in staking, users can vote on various protocol-level changes and receive rewards. According to the current settings, 65% of the commissions collected by the system are distributed among the stakers. Although the developers decided not to set minimum and maximum requirements for the amount of assets in staking, users still have the opportunity to delegate their tokens in favor of a third-party pool..
This is the third DeFi project to reap the benefits of a recent transition to a decentralized governance model. Earlier, Balancer and Compound have resorted to management with tokens in an effort to wider distribution of their services..