With the last bell rang, Kusama ’s 9th slot auction has ended. After a week of ups and downs, Centrifuge’s pioneering network Altair won the second-to-last slot position in this round, which also heralded Kusama ’s first slot auction. The second phase of the slot auction is coming to an end, and there are currently Karura, Moonriver, Shiden, Khala, Bifrost, KILT, Calamari, Basilisk and Altair.
On the other hand, as the Kuasma slot auction enters the countdown stage, some ecological projects have already started preparing for the Polkadot slot auction, and a week ago, Acala has officially started its parachain slot auction warm-up activity. As stated in its official announcement article, “Acala is ready to go online”, and Parachain Crowdloan will be launched.
This also implies that the slot auction on Polkadot Parachain may be on the way. Because of this, some people have begun to comment in the community that since Polkadot’s parachain is about to go online, Kusama’s parachain ecology, and even Kusama, seems to have no value anymore. ,Is this really true?
For this reason, we try to stand on the current timeline and re-examine the value of Kusama, as well as those ecological projects that actively participate in the Kusama slot auction and even successfully obtained the slot, and observe the value behind it with a clearer perspective. , And discuss possible future development directions.
What is the value of Kusama?
First of all, we still need to re-discuss the value of Kusama. As early as the end of 2020, we wrote an article “Where is the value of Kusama, and why is it important?” “To illustrate the value of Kusama. At that time, as a real test site with a normal economic system, Kusama was very different from the common Xianxing network at that time. Kusama is injected with economic value and enables network participants to test a more comprehensive potential problem. This also makes Kusama more creative and ensures the robust and safe rapid evolution of the Polkadot ecosystem.
From now on, the conclusions made at that time are still valid. In simple terms the value of Kusama mainly from: is Polkadot of Pathfinder, the value of Polkadot engraved, is the first step unlimited scalable Polkadot. Compared with the inference of the core value at that time, there is now more tangible evidence to explain all of this, and a detailed analysis will be carried out below.
Pathfinder of Polkadot
It is like a large game that requires internal testing. The iteration and maturity of any technology-related project requires constant testing and finding corresponding problems. The content will not be updated to the official network until the game is relatively stable. As a Canary Network that tested various functions for Boca in advance, Kusama has very important value. It avoids some relatively uncontrollable problems in the Polkadot ecosystem.
Because of this, many projects have been deployed on Kusama to avoid unforeseen problems. After Kusama’s first batch of parachain slot auctions ended, five projects that obtained parachain slot lease rights were successively connected to Kusama’s relay chain, although the stability of parachains, approval voting, network connection and The four key aspects of the load are running well overall, but there are still small problems that do not cause much damage such as occasional deterministic pauses, excessive connection of abnormal nodes and the need to bear higher levels of load. However, these problems were resolved before the Polkadot Parachain system was launched.
This effectively optimizes the performance of the Polkadot ecosystem, making its development iterations more stable and safe. Unlike the traditional test network, Kusama will exist for a long time after the Polkadot ecosystem is launched. The pioneer network of different projects will be added to the Polkadot ecosystem after stable operation on Kusama, making Kusama a Polkadot. An important pathfinder in the development of the ecosystem.
At the same time, the corresponding value on Polkadot will be re-engraved on Kusama in advance. An important blind spot in traditional testing is the lack of necessary incentives. This leads to more casual participants. Users will not worry about problems due to disconnection and carelessness. Developers are more lax in fixing vulnerabilities. The mainnet line will often face problems again because of this. By building a real experimental network, Kusama can truly “test” these incentives and the mechanisms behind them.
And this also brings two aspects of value to Kusama. On the one hand, the value of the Polkadot ecosystem itself will be replicated on Kusama and the KSM economic model will be introduced . With the launch of the main network, the opening of the transfer function, and the launch of parallel chain slot auctions, the value of the Polkadot ecosystem itself was first fully demonstrated on Kusama.
On the other hand, Kusama will provide incentives for different projects’ pioneer networks, which will increase the demand for KSM and at the same time endow the value of the project’s pioneer networks. For example, we are familiar with Acala, Moonbeam, Astar, Phala, Bifrost and so on. We will introduce some projects in the following chapters.
The first step of Polkadot’s unlimited scalability
Compared with the Polkadot ecosystem, Kusama seems to be more diversified, more flexible and efficient, and effectively enrich the development of DeFi in the entire ecosystem. For the Polkadot ecosystem, it is likely to become the first parallel relay chain and an important part of the interconnection of the Wanchain envisioned by Polkadot.
Although the Polkadot ecosystem is officially set to have only 100 slots, the emergence of parallel relay chains makes the Polkadot ecosystem with unlimited scalability. Kusama can be said to be the first step in the expansion of the Polkadot ecosystem from 100 to unlimited.
And when Kusama “turns positive” into the Polkadot ecosystem, the projects inherent in the Polkadot ecosystem will bring huge traffic to Kusama itself. It can be said that Kusama has a promising future.
From current observations, Kusama has more value
Speed is value
Although Kusama is Polkadot’s pioneer network, and its original intention was to position it as Polkadot’s “canary” network, this does not mean that Kusama is less secure. In fact, they have the same code and design. Therefore, the shared security and consensus of the Kusama relay chain still makes Kusama one of the safest networks in the Crypto market, but it is slightly different in some subtle places.
Moreover, Kusama is to verify the functions that will be launched on Polkadot in advance. In order to quickly test these functions, Kusama will be set to be 4 times faster than Polkadot. It is a more agile network. The fast speed is very important for its own iteration and evolution speed. The fast Crypto industry is even more of an advantage, which is another great value of Kusama.
Real assets as the foundation, Kusama has broken away from the “canary”
As we just said, Kusama is not even more insecure because it is a “canary” network, and there are already many valuable projects running on Kusama, and billions of dollars in assets are participating in this chain. From this point of view, the operation of, is already a successful public chain.
However, on this basis, Kusama will also be a secondary relay chain connected to Polkadot. Due to its characteristics, we can regard it as a faster Polkadot chain. Now that the Kusama ecology is gradually developing, it has also broken away from the pure “canary” characteristics. Naturally, the relationship between Kusama and Polkadot should be renewed from the “canary” network to the “main network” to “a public chain faster than Polkadot” and “one more chain”. According to the authoritative VIP chain”.
Kusama will also have unique items
Since Kusama is already a successful public chain, the development of it and Polkadot in the future does not necessarily have to develop simultaneously. The most intuitive thing is that Kusama’s faster characteristics than Polkadot and lower slot auction costs will attract some projects that only choose to deploy on Kusama, or only obtain Kusama’s parachain slots.
In this way, Kusama and Polkadot will gradually become two different ecosystems, each with its own value, but can be interconnected, forming a richer Polkadot ecosystem. Founder Gavin mentioned in an interview that “Kusama is strongly supporting the art world. Kusama has funded some art projects to try to make the art world have some understanding of the blockchain.”
Then some people will say that if there are too many projects deployed on Kusama and occupy a lot of slots, then Kusama’s slots are not enough. Projects that plan to deploy both Polkadot and Kusama will deploy parachain slots on Kusama. ,then what should we do?
These project parties can use Kusama’s parallel threads to achieve the goal of cross-chain. If they are not satisfied, take a step back and talk about it. There is another possibility that Kusama is connected to a secondary relay chain. Let these projects be the first network in this newly added secondary relay chain, which can also solve the problem, and this is a manifestation of Polkadot’s infinite scalability.
What is the value of Kusama ecological projects
I just talked about the value of Kusama itself, but there is still a problem. Some Polkadot ecological projects have also deployed Pioneer.com on Kusama, and will adopt the same strategy as Polkadot, that is, run the latest features on Pioneer. If it runs smoothly, then deploy this new feature to Polkadot’s mainnet. It seems that these parachain projects should also have value on Kusama’s pioneer network, but in our actual observations, we found that not all project parties can implement this strategy well, or how to operate well on Kusama. The Xianxian network does not have a good idea. As a result, it is possible that the value of the Xianxian network deployed on Kusama will become very low.
In order for everyone to be able to distinguish more clearly which projects are more valuable on Kusama, we briefly sorted out several features of Kusama ecological projects that can have value for everyone to judge.
What you do has practical value
For example, currently, Karura, who has obtained the first Kusama parachain slot, and Moonriver, who has obtained the second Kusama parachain, are doing this. They have two obvious characteristics. One is that a lot of funds are involved in their ecology. In application, the other is to provide value for the entire ecology.
Moonriver’s idea is to develop ecology. Several relatively good ecological applications have been deployed in it. It has locked up assets of 230 million US dollars and has caught up with some husband chains (for example, Tezos locked up assets of 1.6 US dollars). (Data source: https://defillama.com/) Karura is polishing itself. Its autonomous application has locked up 240 million U.S. dollars, and its decentralized stable currency kUSD can provide a medium of value transmission for the entire Kusama ecosystem. And it has become the payment method of the official Grant of the Web3 Foundation. (Data source: https://stats.karura.network/)
Whether it is building an ecology
Ecological construction is divided into two points, one is external and the other is internal.
Externally refers to whether this parachain cooperates with other valuable public chains or parachains, and this cooperation requires substantial cooperation to show that it has actual value. Because cooperation with just shouting a slogan is easy and deceptive, we should not overestimate the claims of cooperation, but look at which cooperation has actually landed.
Internally refers to these pioneer networks on Kusama. If it is positioned as a public chain that supports smart contracts (some parachains are positioned as a DApp and one-chain application chain, such a chain does not need to develop an internal ecosystem). It is necessary to develop the ecology and allow many applications to be deployed and run on this public chain. Then we must pay attention to whether such projects are actively promoting the development of the ecology and how the applications in the ecology are running.
Polkadot’s influence passed to Kusama
There are also some situations where a certain project has a very good effect on Polkadot. People will look forward to its upcoming new features or new mechanisms, and the project’s advance network on Kusama will be laid out in advance. The Xianxianwang will run these mechanisms and functions first, which has a preemptive effect. The current value of this aspect has to wait until the smooth operation of the Polkadot Parachain Slot.
PS facts speak
The extra one is not a few valuable features, but a point for judging the authenticity of the project, which is to speak with facts. Because Polkadot’s characteristic is that it is easy to send a chain, so we must be wary of whether some projects are not for good projects, but for other purposes.
The so-called talking about facts is to not look at bragging, but only look at the data. It can be seen from several dimensions. When you look at the development progress, you can search for the corresponding projects through Polkaproject and check their development activity (as shown in the figure below):
Second, look at the growth of the number of people in the community (Twitter, Telegram, Discord). Third, look at the official update frequency on social platforms. Fourth, look at whether the cooperation previously mentioned by the government has landed. Looking at the data on the chain, the number of addresses, the number of locked positions, etc., websites you can refer to are:
The official website launched by itself, such as Karura’s
Third-party data sites, such as DeFillama:
Block explorer, such as
If you follow up the data of these projects in real time, you can basically judge whether its development is smooth, which is conducive to removing the false and keeping the truth and finding more valuable projects.
PSⅡ Fact Talk 2
There is also a question involved here. If it is Kusama’s Pioneer Network, will there be other public chains that “dislike” Pioneer Networks and are unwilling to participate in it, but only want to participate in its mainnet?
It is entirely possible, but it is not without a solution. The architecture of Polkadot and Kusama determines that the cross-chain and interaction between parachains and parachains will be easy, so use the interoperability and scalability of Polkadot and Kusama, The project party can first conduct substantive cooperation through its own pioneer network on Kusama and other valuable pioneer networks, and can also transfer some valuable assets to its own pioneer network, and use it for applications in the ecosystem, and lay down A foundation to create a certain data effect. After that, you can use these “facts” to find the project parties that were unwilling to continue to discuss cooperation.
With the end of Kusama’s 9th round of slot auctions, we will soon see the winners of the last round appearing, and this also means that Kusama’s auction drama may come to an end temporarily, and as the various technologies complement and With the perfection of parachain testing, perhaps we will soon usher in Polkadot’s slot auction.
Of course, how the Polkadot slot auction can be combined with Kusama, and what sparks it will emit, seems to be worth looking forward to, but we need to be sure that, as our article said, Kusama’s performance is still worthy of our attention, and it runs on it. The parachain may also have unexpected performance.
Recalling the situation when Kusama was just born 2 years ago, we have now come to another important turning point, and what we have to do is to observe and track, and find the best ones, and walk with them.
Posted by:CoinYuppie，Reprinted with attribution to:https://coinyuppie.com/what-will-be-the-value-of-kusamas-second-round-of-slot-auctions-coming-to-an-end/
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