KYVE is excited to announce its switch from EVM-based smart contracts to a Cosmos SDK-based chain, making KYVE its own layer 1.
Prior to this switch, KYVE’s protocol nodes interacted with a Solidity contract deployed on Moonbeam’s testnet, Moonbase Alpha.
While Moonbase has given us incredible support and the help we needed while building in the EVM-compatible space, Moonbeam’s latest update caused us to rethink our dependencies on other chains and the impact it could have on our protocol. We decided to take this opportunity to work towards becoming more independent and flexible.
Why we ventured into the Cosmos
The process of switching from one network to another is no small task. The KYVE team looked at several EVM solutions and did more market research. But we soon realized an EVM system was not ideal for KYVE.
EVM introduces the following problem: it is not scalable for applications with high transaction volume like KYVE.
Due to high network usage, gas prices will always increase. This is because all applications share the same block space on EVM. Only a certain number of transactions are allowed per block, so if one wants their transaction to be prioritized, they have to pay more gas for it.
We’ve seen that users are willing to pay more gas for what they consider more “valuable” transactions than ones on KYVE. For instance, when a user makes a swap on Uniswap with a $10,000 profit, they might be fine with paying $100 in gas, while it might not be economical to pay that same gas fee for a KYVE vote.
Because of this, we needed a solution where KYVE does not need to share block space with other applications.
Many of the EVM solutions we were looking at were just not decentralized to the point we needed them to be. That is until we started looking into the Cosmos network.
Cosmos makes it easy to scaffold chains, create blocks, carry out transactions and carry out governance. It enables us to have faster block times and we no longer have to worry about sharing block space.
This migration is a huge step for the KYVE Network because KYVE is no longer built on top of another layer 1. KYVE is now its own layer 1, which means the network has its own security and nodes.
Technical changes
As a result of this release, the KYVE team is rolling out a series of technical upgrades.
KYVE will now support two types of nodes: the existing present protocol nodes and the newly added blockchain nodes. Both nodes will need to be hosted by the community, monitored, and maintained.
While the protocol nodes stay mostly the same, they are now communicating with the blockchain nodes instead of the smart contract. The blockchain nodes are tender mint-based nodes, which are responsible for transferring tokens, handling the KYVE logic, and much more.
With this release, we are also rolling out the KYVE Explorer– a block-explorer that will monitor the newly upgraded KYVE blockchain. You can find the explorer here:https://explorer.kyve.network
There will no longer be a KYVE ERC-20 token, only a native KYVE currency that lives on the Cosmos-based blockchain. Users can use the native KYVE tokens to stake and delegate in blockchain nodes, as well as fund, stake, and delegate in protocol nodes. Gas fees will also be paid in $KYVE.
We have removed the highly centralized frontend cache, a piece of software that was used to display the latest state of the KYVE contracts, which could have caused some trouble if our cache was corrupted. Now the frontend is safely requesting the blockchain nodes directly, enabling a safer experience for our users.
Writing an integration has become much easier. Now, only one function is required, while previously three were required.
Users will now need to use a new wallet to interact with KYVE. Instead of MetaMask, users will now use Keplr, an open-source wallet used in the Cosmos ecosystem. To find out more about how to use Keplr and connect it to the KYVE chain, check out our demo below:
We are also introducing “delegation unbonding,” a security upgrade designed to prevent rug-pulling on protocol nodes. How exactly does this work?
If a user delegates to a node, but then wants to remove their delegation and transfer the funds back to their wallet, they now have to wait for 21 days to withdraw their funds. Think of it as the blockchain holding your funds for a period of time, with neither party being able to access the funds, or earning rewards on those funds. After the 21-day-period has passed, users can immediately withdraw their delegation.
Why is this being implemented? Users can’t just randomly delegate and undelegate to different nodes, so it’s going to make the network more secure.
It’s worth noting that redelegation within the system is instant. It’s only when users want to take money out of the system that the rules change. But moving funds within the chain is instant, with most transactions mining in under five seconds.
Finally, we have added two new faucets. The Discord faucet allows an address and Discord user to claim 20 tokens every 24 hours. The wheel of fortune allows users to claim one, five, or ten tokens every 24 hours.
About KYVE
KYVEis a next-generation protocol that enables data providers to standardize, validate, and permanently store data streams. By leveraging permanent data storage solutions like Arweave, KYVE’s Cosmos SDK-based chain ensures the scalability, immutability, and availability of these resources over time. KYVE is backed by top VCs, including Hypersphere Ventures, Coinbase Ventures, Mechanism Capital, CMS Holdings, and blockchains such as Arweave, Avalanche, Solana, Interchain, and NEAR.
Join KYVE’s community:Twitter|Discord|Telegram