On-chain liquidity protocol Kyber Network have announced a partnership with Singapore-based StakeWithUs as they prepare for the introduction of staking their KNC token and roll out of the KyberDAO governance initiative.
The decentralised community platform KyberDAO is slated to be part of the Network’s Katalyst upgrade that is scheduled to go live at the end of Q2 this year and will enable KNC holders to take part in protocol governance.
Through the new agreement, KNC holders have the option of refraining from the voting process – yet still benefit from staking and receiving rewards from network fees collected in ETH – by choosing to delegate voting power to the StakeWithUs’ ATLAS platform.
Alliance in DeFi
Kyber Network are one of the few projects that have been officially advised by Ethereum’s Vitalik Buterin and have built a considerable presence in the decentralised finance (DeFi) arena.
New to Kyber? Watch our intro video to understand why Kyber is the most used on-chain liquidity protocol in decentralized finance #DeFi with close to 100 DApp integrations and US$950M in trade volume since launch!🚀
— Kyber Network (@KyberNetwork) April 24, 2020
Kyber Network suggest the new partnership and a successful Katalyst upgrade “…will formalise KNC as the first deflationary staking token where token burn and rewards are determined by actual network usage and DeFi growth.”
Loi Luu, CEO of Kyber Network, said “Kyber staking doesn’t require any minimum amount, lockups, or slashing. KyberDAO and the governance process were designed to empower our community while ensuring the security and scalability of the network.”
Kyber’s new partner, StakeWithUs, have received backing from the Singapore Government’s deep tech fund called SGInnovate, and specialise in building staking-based protocols for both retail and institutional clients.
StakeWithUs will operate as a non-custodial “Pool Master” for KNC holders who delegate their voting power and will explain the reasoning behind any votes made. With no lockup period, the delegators will be able to withdraw or re-delegate at any time.
Speaking on the recent announcement, Co-Founder of StakeWithUs, Michael Ng, said “Unlike other Ethereum-based staking protocols including Livepeer and Synthetix that commonly pays out staking rewards in their native tokens, Kyber will be the only protocol that has a deflationary staking token with network fees paid out in ETH – an asset with monetary premium.”
Future plans for StakeWithUs include the opening of a separate multi-chain yield platform called Unagii that will provide a range of services including the staking of KNC.