It is important to note that each new blockchain that hits the crypto space tries to solve one or more of the limitations of the incumbent players.
Kaspa is a Proof-of-Work cryptocurrency with plenty of new value propositions and the in-house GHOSTDAG protocol is certainly the compelling feature of them all.
Multiple Blocks Together
A major issue with traditional blockchains is their lack of support for the creation of multiple blocks in parallel.
When the same is attempted, the result is what is known as orphan blocks.
Ghostdag protocol, on the other hand, allows multiple blocks to coexist.
High-Speed Transactions
Kaspa also has a significant transaction speed.
On average, it can currently process one block per second and aims to reach a speed of 100 blocks per second in the future.
To put things in perspective, Bitcoin, the largest cryptocurrency, can only process 1 block every 10 minutes, a very low block rate by all standards.
Tricks Up The Sleeve
Kaspa also comes with plenty of other shiny new things like reachability to query the DAG’s topology, block data pruning with plans of block header pruning in the pipeline, SPV proofs, and later subnetwork support that will make roll-up solutions easy.
I will explain them one at a time here.
Reachability For Query and Retrieval
In traditional blockchains, the node connections are generated in such a way that once you have moved forward in the chain, there is no way to come back to a previous node.
Reachability is a feature in the DAG protocol that allows developers to query or even retrieve information about the structure or arrangement of these nodes in the DAG.
It works quite like version history on Google Docs.
This will allow for more flexibility in development and allow understanding of the relationship between different transactions or blocks in the network.
Block Data Pruning
Transactions on a traditional blockchain are permanent.
Over time, this will cause the accumulation of a copious amount of data in the chain, affecting its management.
Block data pruning is a technique to reduce the storage requirement of a chain by removing the data that is no longer necessary.
For instance, when a transaction is validated and the block is added, the information used to validate that transaction no longer has any use and thus can be removed.
Simplified Payment Verification (SPV)
Exorbitant resource consumption and its impact on the environment is a major criticism of Bitcoin and Ethereum.
Before Ethereum 2.0, the blockchain consumed as much electricity as the whole of Chile.
SPV proofs, in contrast, allow nodes with no access to large processing power to verify transactions without downloading the whole blockchain.
This would mean that clients can now use their mobile phones to participate in the network.
Support for Subnetworks
Scalability is a problem all the leading blockchains struggle.
Bitcoin is still focussing on security while Ethereum has opened up for rollups.
Subnetworks are smaller networks within the blockchain that can handle certain types of transactions.
This will improve the scalability and efficiency of the network.
Kaspa has the feature built into its architecture, which will make the integration of layer 2 solutions easy.
Layer-2 Friendly
In 2023, Ethereum had to alter its core protocol implementing ‘The Merge’, moving from Proof-of-Work validation to Proof-of-Stakes validation.
Layer-2 Solution is a technology designed to improve a blockchain’s scalability without having to modify the core protocol.
It is done by taking the transactions off the chain thereby reducing the load on the main chain.
A Short History and Tokenomics
Kaspa was conceived by the Research and Development firm DAGLabs.
It was founded by Yonatan Sompolinsky, a Computer Science postdoc from Harvard and PolyChain was a major investor in the project.
Kaspa follows an emission schedule following a geometric progression of time based on the twelve scales in music theory.
The chain has a total supply of a little under 30 billion coins of which over 22.6 billion KAS are in circulation.
The Price History
Kaspa coin (KAS) started trading at $0.0009003 on August 13, 2022.
In April 2023, the coin made significant strides hitting $0.03474.
The prices matured in the following month and gradually moved up until November when its prices started to go up again.
In early December, the coin hit an all-time high of $0.1452.
As per the data on CoinMarketCap, KAS is traded at $0.1035 making up an over-two billion in market capitalization.
Kaspa Price Prediction 2024-2030
Our price predictions for Kaspa Coin over the next year are based on our assessment of factors such as trading volumes, market adoption rates, and competitor landscape shifts, including average price targets for market analysis.
Year | Average Price |
---|---|
2024 | $0.27 |
2025 | $0.59 |
2026 | $0.88 |
2027 | $1.20 |
2028 | $1.58 |
2029 | $1.89 |
2030 | $2.29 |
Where To Buy KAS?
Kaspa is not yet available on major crypto exchanges like Binance or Coinbase.
However, it is listed on other centralized exchanges (CEX) like KuCoin, MEXC, BitMart, and Gate.io.
You can also buy Kaspa from decentralized exchanges (DEX) like Uniswap and SushiSwap.
Closing Words
The fancy features of Kaspa, though making it more efficient and flexible, also add to its complexity.
Developers and users would have a steep learning curve getting around Kaspa before using the platform.
The technical indicators suggest that KAS has gained significant upward momentum in the past week.
With solid fundamentals and a growing developer and contributor base, Kaspa stands out as a potential winner in the crypto space.
Not Financial Advice
The information on this web page is gathered from sources available in the public domain.
The opinions expressed are those of the author and are not necessarily the same as those of the publisher.
They are intended for informational purposes only and should not be relied upon for investment decisions.
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