Thank you to the NanoNews Community for participating in Ask Me Anything (AMA) with Kira Network on September 5, 2020. This guest star Kira Network Builders. If you were unable to join the live AMA, no worries, here comes our 58th AMA recap!
We are glad to meet here:
Mateusz Grzelak, CTO Kira Network
Milana Valmont, CEO Kira Network
For taking your time out from busy schedule for the AMA!
Q1: Can you introduce yourself to the community? What is your background and how did you join Kira Network?
Milana: Hi everyone again, my name is Milana Valmont, I grew up in LA but moved to NYC to study economics and psychology at Fordham University. After graduating I have worked in corporate finance for a couple of years as a private equity analyst. I became involved with the crypto ecosystem first as an investor in early 2017 and later the same year I joined Binance exchange as a community volunteer. After that I have worked as project manager for Adcoin.com and was an adviser to Sentinel. In 2018 I went to Tel Aviv to join Knoks platform as head of strategy, and by mid 2019 I dedicated my full attention to Kira as CEO
Asmodat: My name is Mateusz, Kira CTO. I am an electronics engineer, joined the crypto world in 2011 by mining BTC on my GPU, for the past 3 years I was involved in the Web3/Interchain ecosystem. Before starting Kira project with @miLanavaLmont I worked for Barclays Bank as R&D developer, as lead infra engineer for US based Settle Finance and cryptocurrency exchange in Switzerland called Bity.
Q2: Can you briefly describe what is Kira Network?
Milana: Kira is a DeFI application that provides access to the market for any digital token in the interchain ecosystem and utilizes 100% of your working capital without locking it up. With Kira you will be able to stake any fungible or non fungible token, and claim the rewards from multiple chains and trade it on Kira or use it with other Defi’s at the same time
Q3: What companies/projects do you see as competitors, and how does Kira Network stand out compared to them?
Asmodat: There are not many projects in crypto that allow you to stake any asset to secure its own network while providing liquidity to all those asset at stake and market access at the same time. In that respect we are currently the only one who came up with the idea of using value at stake to power DeFi applications.
The are projects that provide you staking derivatives that you can use to maintain liquidity of assets at stake, but that is a redundant mechanism which you can easily replace with a smartcontract – and of course those projects charge you for that.
Kira does not stake for you and does not take any commission when staking derivatives are issued, we also give you ability to stake on multiple chains at the same time.
Or use us and other DeFi at the same time to maximize your yield farming
Q4. What is the use-case of the Kira Network?
Milana: Kira use case is a market access for any digital asset, such as any cryptos, digital fiat, stable coins and even NFTs. You can stake and trade at the same time and earn revenue from that
Q5. What are the major milestones Kira Network achieved so far & what are in future pipeline?
Asmodat: Right now we have completed a lion part of our governance permissioning system for allowing validators to join the consensus and have our own internal dev testnet that you can already deploy on your local computer to start interacting with Kira, and plan to launch a public testnet in around 2-3 months.
We will be launching in similar fashion to Polkadot:
PoA with sudo ->
Governance module ->
MBPoS consensus ->
Removing sudo ->
Interchain Exchange Protocol ->
On-chain contracting ->
= a Self sustaining network!
Host: Additional question, Kira Network already make any token sale?
Milana: We’ve closed our private round 3 weeks ago and we are planning our public round soon, you can check for announcements in our tg group
we will make an announcement about our public round soon
Q1. What systems are used by Kira Network, for example PoS, PPoS, TPoS, etc., what mechanisms / strategies will you use to keep your users motivated and present on your platform?
Milana: We’ve created our own consensus MBPoS that allows multi staking and has a built it positive feed back loop that incentive people to stake their assets to earn block and fee rewards
this increases our network activity and security and as the result increases the yield from the block and fee rewards that attracts even more users
Q2. It is written on your website that KEX holders can become part of the Kira Network management system and validator. Could you tell us about the responsibilities of the Kira Network management and the minimum amount of KEX per person?
Asmodat: Kira governance defines its own on-chain and off-chain rules for onboarding new validators and governance members. Wealth status is not the only determining factor when judging candidacy. Whether or not a candidate is suite to become a validator or governance actor is judged on individual basis. There will be minimum KEX required but it will be different for each individual. This eliminates vulnerabilities of plutocratic governance models where holding more coins simply implies holding more power but not necessarily being a responsible or rational actor that adds value to the project.
Q3. When both the delegator and the validator get the pegged, newly minted token and the original blockrewards respectively, isnt that basically a double spend attack? How are you able to peg the price of the new token to the original one in Kira Network?
Asmodat: From block rewards you can only get KEX, we do NOT inflate other tokens that you can stake. When you are earning other coins the rewards come NOT from their inflation but from the fees users pay to interact with the network.
All the tokens are always pegged 1:1 and that ration is maintained at all times unless a set of validators misbehaved and governance system determined that it was a real double-spend attempt – in such case validators that were participating in the attack would get slashed.
Q4. Kira network’s Multi-Bonded Proof of Stake consensus allows users to earn from staking cryptos, stablecoins,NFT’s,fiat and commodities. How can users stake any of their assets on the platform? What is the role of the developers of those assets in this type of staking?
Milana: Kira allows your to stake any asset thanks to interchain protocols such as Cosmos IBC or Polkadot XCMP, you would trustlessly transfer your coins to Kira Network that would enable governance to white list your token to be staked and define interest rates, thanks to this you have the ability to earn block and fee rewards
Q5. Trust and Security are the most important things in cryptocurrency. Why do we feel safe with KIRA NETWORK ? The recently released Defi dForce protocol has been hacked for 25 million dollars. Do you have any tips to avoid these situations in the future?
Asmodat: We are not using smartcontracts, and the network is designed to increases its own security over time with growing value of assets at stake. If validators would act in malicious manner they would get slashed and the users reimbursed by the gov system through community pool – where those slashed assets would land.
Q1 What are the advantage for Validators at KIRA Network & What are the requirements to become a validator of KIRA Network ?
Milana: Validator Incentives:
Commission fees are conﬁgurable for each validator
50% of all network fees are equally divided among all validators
Governance seat with voting power equal to all other governance members
Initially validators will be investors with skin in the game, and later gov will decide upon its own SLA. To run a node you’ll need at least 8-16GB ram, 512 GB SSD, 4 cores and fiber internet or high speed
Q2: Yeild farming is a new trending so Kira Network have any plan to yeild farming system development?
Asmodat: Our staking system is already a yield farming mechanism using any asset. Regarding our DeFi app it will be initially a simple sharded orderbook, but de do plan to add AMM mechanism in each shard and ability to pool assets. For now security, gov and consensus are the priority.
Q3: How do you planning to solve the scaling problem And how do you overcome the threat of centralization?
Milana: Security wise Kira increases its security with more assets at stake and there are no limitations regarding how much can be at stake. Which means there are no longer issues with honeys. Scalability wise we use hub spoke architecture just like Cosmos, execution happens on the zones, so blockchain application is fully sharded
Q4: how much supply is available for Kira Tokens? and where are these tokens allocated?
Milana: 300M, these tokens can be stake to either KIRA Validator or any validator of your choice that will be part of the Kira Network
Q5: Where does the project name come from? What does it mean for you and why did you choose that name for your project?
Milana: Our unique identity comes from the utilitarian principles that we build into our consensus and governance model. That is also the reason why the project is called KIRA. Which i hope the fans of the Death Note anime will appreciate 🙂 We want to break the old plutocratic regime in crypto and empower those chain conscious and economically rational players who bring value into our ecosystem
Q6: Kira achieves throughput and availability through sharding. This feature has been highly criticized and accused of compromising functionality of the network. Is sharding the best mechanism to achieve those goals? How is the performance of the network NOT compromised?
Asmodat: Sharding in Kira is secure because subset of validators securing the shard must have sufficient value at stake that they risk to get slashed if they decide to misbehave. Because Kira has no limitations in terms how much value there can be at stake thanks to MBPoS – we do not have limitations in terms how much we can scale out : )
Q7: Kira’s project is powered by Tendermint and backed by The Multi-Bonded Proof of Stake, which once brought a huge debate in the group. Can you explain and comment quickly on this Consensus? What are the rewards, so how can you do it?
Milana: We created our own consensus mechanism which is called Multi-Bonded Proof of Stake which enables users to stake any digital asset, such as any cryptos, digital fiat, stable coins and even NFTs.
Kira is using governance permissioned validator set to prevent sybil or malicious actors enter the network and influence the consensus. Kira governance can define its own on-chain and off-chain rules for onboarding new validators and governance members.
Wealth status is no longer the only determining factor when judging candidacy. This eliminates vulnerabilities of plutocratic governance models where holding more coins simply implies holding more power but not necessarily being a responsible or rational actor. Staking in Kira is used to increase security of the network meaning value at stake
Q8: What is the uniqueness of Kira Network that cannot be found in other project that´s been released so far ? What influence do we have in the crypto industry?
Milana: Our unique selling points:
- Stake any asset (crypto, digital fiat, stablecoins and NFTs) and earn revenue and trade.
- Use KIRA and other DeFis at the same time to utilize 100% of your liquidity with Kira’s staking derivatives
- The more assets are at stake the more secure and liquid Kira becomes, which is the opposite of other PoS projects
We will have our testnet out in 2-3 months, mainnet launch end of the year
Q9: What is the governance assisted slashing mechanism used by KIRA? Are there any risks in using this protocol? Thank you! Why does Kira use Multi-Staking?
Asmodat: Governance assisted slashing is used to determine if validators misbehaved due to the real attack or because of the software/hardware issues which were not intentional. Thanks to this you are not going to loose your coins because validator that you were staking to misbehaved due to the misconfiguration of the node or bc we went offline like in case of other PoS.
Q10: Can you tell us the motivation and benefits for investors to hold $KEX token in a long term investment and What plans do you have to help drive demand and scarcity for the token?
Asmodat: Staking KEX is the most efficient way of claiming revenues from the protocol operations, such as block and fee rewards. KEX holders have the ability to become part of the governance and the validator set of the Kira Network.
Kira’s governance has the ability to define interest rates for staking foreign tokens which in turn increases security and liquidity of our exchange protocol. KEX acts as a reserve currency in terms of which staking all other assets is valued. Thanks to this mechanism governance can ensure that staking KEX is not only the most profitable in comparison to other tokens but also attracts other token holders and increases network activity
Q11: As we all know, the CoViD 19 pandemic is greatly affecting many lives and businesses globally. Does this affect KIRA positively or negatively? Thank you. 💕
Milana: Ironically it affected us positively meaning we were staying in one place just working non stop, no distractions, and we’ve done really well in the past few months. Our private funding was completed within few weeks
Q12: What your plans in place for global expansion, are $KEX focusing on only market at this time? Or focus on building and developing or getting customers and users, or partnerships? Can you explain this?
Milana: Thanks to our consensus the Multi Bonded Proof of Stake you can stake any assets, that includes NFTs, such as digital real estate, luxury and art goods, and gaming digital items. We are planing to partner with NFT projects in the future so we can fascinate the NFT market place on Kira where users can stake their gaming digital items for example and earn revenue.
We are also planning to expand our IVO (Initial Validator Offering) to other projects and not just in crypto but also within the non crypto enterprises and even non profits, where people can stake their assets and projects can raise funds for their operations.
These mechanisms will open up the crypto ecosystem to a way larger market
Q13: As I know Kira uses a “Parameterized Network Actor Permissioning Model”. How does it work and what rules does this system have?
Asmodat: “Parameterized Network Actor Permissioning” is a two rule mechanism that allows our network to self evolve.
- only whitelisted actors can vote or propose blocks
- they can only vote on proposals (submit transaction types) that they have permission to
because every permission in the governance system can be parametrized – we can have scale out our gov system and define custom requirements for each network actor.
Normal users do not have to be aware of this, but thats what allows Kira creation of multicameral systems where subsets of councilors specialize in creating and voting on specific subsets of proposals. This also allows us to separation of power though checks and balances mechanism.
This is also mega useful for creating sub-keys e.g. hot and cold wallets where there might be certain limitations where tokens can be transferred, and up to what amount etc.
Q14: When we talk about the dangers that lurk in decentralized networks, “the spiral of death” is one that always stands out. What mechanisms does Kira use to avoid this problem?
Asmodat: Kira gives validators portion of fee rewards, which ensures that they make money even if the tokens they mine is volatile which prevents death spiral. Also Kira governance controls number of validators that join the system to we can balance out how much rewards can be shared among all of them and no one big pool overtakes the system making it not profitable for others ot be validators – which you can see happens in other networks.
Host: Wow thanksyou guys, you are so amazing answer all question on this AMA!
Milana: Thank you for hosting us and thank you Nano community for such great questions ☺️
Telegram group: https://t.me/kirainterex
Announcements channel: https://t.me/KiraAnnouncements
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