• Cosmos is enlisting Kava blockchain to facilitate USDT’s launch on interchain.
• This development makes it easier for DeFi users to transfer funds from one chain to another, with minimal fees.
• The announcement may unlock more visibility and utility for the Kava network and its native cryptocurrency.
Cosmos Enlists Kava Blockchain for USDT Interchain Rollout
Cosmos [ATOM] is one of the blockchain networks that have held strong to the idea of an internet of blockchains, but have encountered challenges regarding interconnectedness. In order to overcome these challenges, Cosmos has enlisted Kava blockchain to facilitate USDT’s rollout on interchain.
KAVA Facilitates Easier Fund Transfer
Cross-chain transfers usually require bridging, which can involve expensive swaps. Through this new development, DeFi users will be able to transfer one type of asset from one network to another without requiring swaps – making it possible for them to access liquidity on more DeFi platforms with ease and cost-effectiveness.
USDT’s Utility Enhanced by Interchain Ecosystem
The native issuance of USDT into the interchain ecosystem also enhances its utility as it allows users to easily transfer funds within the interchain without having to go through expensive bridging or swapping processes.
Impact On The KAVA Network
The announcement has major implications for the Kava network and its native cryptocurrency; it could potentially unlock more visibility for the platform. Since launch, Kava has seen a significant surge in market cap despite not having been in operation long enough for investors and analysts alike to properly assess its performance.
Conclusion
This latest development is yet another step towards allowing Cosmos‘ vision of an internet of blockchains a reality while also providing much needed utility and visibility boost for both USDT and the Kava network itself.