Understanding Kusama (KSM)

How many cryptocurrency do you know? There are over 2000 different types of cryptocurrency that exist in the world today. Kusama (KSM) is one type of cryptocurrency that you may not have heard of before. In this article, we will explore what Kusama (KSM) is, how it works, and some of the potential benefits that it could offer users.

History of Kusama (KSM)

Kusama (KSM) was created in 2018 by a team of developers who were also behind the popular cryptocurrency Polkadot (DOT). The Kusama (KSM) network is a “testnet” for the Polkadot network. This means that Kusama (KSM) is used to test new features and upgrades before they are implemented on the Polkadot network.

It was led by Gavin Wood, who is also a co-founder of the Ethereum network. Kusama (KSM) is named after the Japanese artist Yayoi Kusama.

2019 is a year in which Kusama (KSM) really started to take off. In June, Kusama (KSM) launched its mainnet. This is a big deal because it means that Kusama (KSM) can now be used as a standalone cryptocurrency, independent of the Polkadot blockchain.

In September 2019, Kusama (KSM) was ranked as the 14th most valuable cryptocurrency by market capitalization.

What is Kusama (KSM)?

Kusama (KSM) is a decentralized network that allows for blockchain interoperability. Essentially, this means that Kusama (KSM) can be used to connect different blockchain networks together, allowing for a greater degree of communication and collaboration between them.

The best feature of Kusama (KSM) is its Kusama Relay Chain (KRC). The KRC is Kusama’s own proof-of-stake protocol that enables Kusama (KSM) to run in a decentralized, trustless manner. Kusama (KSM) also uses Parachains, which are scalable sidechains that can be used to process transactions in a more efficient way.

Kusama Council

Kusama (KSM) is also notable for its Kusama Council, which is a group of 12 individuals who are responsible for governing the network. The Kusama Council is elected by Kusama’s own native token, KSM.

The Kusama Council is responsible for a number of things, including:

Making decisions about the Kusama (KSM) network
Managing Kusama’s development fund
Voting on proposals that are submitted by the community

Kusama (KSM) vs. Polkadot (DOT)

Kusama (KSM) is often compared to Polkadot (DOT), as they are both projects that are led by the Web3 Foundation. Kusama (KSM) is often referred to as Polkadot’s “canary network”. Kusama (KSM) is considered to be a more experimental version of Polkadot (DOT), as it is designed for developers to test out new features and ideas.

Some comparisons are the following:

Polkadot (DOT) is considered to be a more production-ready platform since it tests projects for mainnet launching.
Kusama (KSM) is also more accessible to developers, as it does not have the same barriers to entry that Polkadot (DOT) does. Kusama (KSM) does not have a staking requirement, and it does not require developers to have a deep understanding of Kusama’s technology.
Polkadot (DOT) is considered to be more complex, and it requires developers to have a certain amount of DOT tokens before they can start developing on the platform.
Kusama (KSM) is also faster when it comes to rolling out new features, as the Kusama (KSM) team is more agile and responsive to different requests.

In general, Kusama (KSM) is considered to be a more experimental platform, while Polkadot (DOT) is meant for projects that are ready to launch their own mainnets.

Use Cases of Kusama (KSM)

There are many use cases for Kusama (KSM), as it is a platform that is designed for developers to test new features and ideas.

Some examples of Kusama (KSM)’s use cases include:

Governance: Kusama (KSM) can be used to test out different governance models, as it is a more experimental platform. This is useful for projects that are trying to figure out the best governance model for their project.
Decentralized exchanges: Kusama (KSM) can be used to test out new features for decentralized exchanges, as it is a more agile platform. This is useful for projects that are trying to improve the user experience for their decentralized exchange.
Kusama Parachain: Kusama (KSM) can be used to test out new features for parachains, as it is a more responsive platform. This is useful for projects that are trying to improve the user experience for their parachain.

These are some of the many use cases for Kusama (KSM).

Risks of Kusama (KSM)

Kusama is an experimental network designed to be a playground for developers to test their Polkadot applications. Hence, there are risks that come with using Kusama which include:

Experimental: Kusama is experimental, which means that there is a higher risk of software bugs and vulnerabilities.
No Foundation: Not backed by a foundation or company, which means that there is less financial incentive for developers to work on fixing bugs and vulnerabilities.
Small Community: Kusama has a smaller community than Polkadot, which means that there is less collective knowledge and expertise.

Despite these risks, Kusama provides a unique opportunity for developers to test their Polkadot applications in a real-world setting. Kusama also has a fast-paced development cycle, which can be beneficial for those who want to stay ahead of the curve.

How to Use Kusama (KSM)

Not every individual can participate in Kusama. Kusama is only open to developers who want to build parachains or parathreads, Polkadot applications that require sovereignty. Kusama also requires a 32 DOT minimum balance in order to participate.

If you are a developer interested in Kusama, this is how you can use it:

Create a Kusama account: You need an account on Kusama in order to interact with the network. You can create an account on Kusama by going to the Kusama website and clicking “Create Kusama account”.
Install Polkadot-JS: Polkadot-JS is a suite of tools that allows you to interact with Kusama. You can install Polkadot-JS by going to the Polkadot-JS website and clicking “Download”.
Create a Kusama Parachain: Once you have installed Polkadot-JS, you can create a Kusama parachain.
Request Kusama invites: In order to be accepted into Kusama, you need to request an invite from the Kusama team. You can do this by going to the Kusama website and clicking “Request Kusama invite”.
Activate your Kusama account: Once you have received your Kusama invite, you can activate your Kusama account by going to the Kusama website and clicking “Activate Kusama account”.
Connect to Kusama: You can connect to Kusama by going to the Kusama website and clicking “Connect to Kusama”.
Install Kusama software: Kusama provides software that allows you to interact with the Kusama network. You can install Kusama software by going to the Kusama website and clicking “Install Kusama software”.

Once you have installed Kusama software, you can begin developing your Polkadot applications on Kusama.

Kusama Price

KSM price in the crypto market is $72.46 The market cap is 397.09M USD. If you want to trade Kusama the 24-hour trading volume is $101,671,470.65. Kusama was trading at $0.37 on December 8th, 2020 when Kusama launched.

Transaction fees on Kusama are determined by the Kusama network and they are currently set at 0.01 KSM per transaction.

The Kusama network uses a proof-of-work consensus algorithm, which means that transaction fees go to miners who validate transactions on the Kusama network.

Kusama is a project of Web3 Foundation. The Kusama network is powered by Kusama tokens (KSM). Kusama tokens are required to participate in Kusama.

Kusama (KSM) Mining System

Even though Kusama (KSM) is a proof-of-work (PoW) cryptocurrency, Kusama has a unique mining system that is different from other PoW cryptocurrencies. Kusama uses a “Web3 Foundation POW medal” to reward miners who validate transactions on the Kusama network.

The Web3 Foundation POW medal is minted every time a Kusama block is validated.

The minting process is as follows:

The first Kusama block is validated by the Kusama network.
A Web3 Foundation POW medal is minted and given to the validator of the Kusama block.
The Web3 Foundation POW medal is then used to reward the next Kusama block validator.
This process continues until all Kusama tokens (KSM) are minted.

Kusama (KSM) Roadmap

Parity technologies launched Kusama on Kusama’s one-year anniversary, On February 20th, 2020 and there are still a lot of plans for Kusama’s future.

Kusama’s roadmap is divided into five phases:

Kusama Phase 1: Canopy (February 2020 – May 2020)

The first phase of Kusama is canopy. The goals of Canopy are to launch Kusama and to get the Kusama network up and running. During this phase, Parity Technologies will also be working on Kusama’s governance model.

Kusama Phase 2: Plasm (May 2020 – August 2020)

The second phase of Kusama is Plasm. The goals of Plasm are to launch Kusama’s parachains and to get them up and running. Parity Technologies will also be working on Kusama’s staking and Kusama’s token economics during this phase.

Kusama Phase 3: Kusama (August 2020 – November 2020)

The third phase of Kusama is Kusama. The goals of Kusama are to launch Kusama’s mainnet and to get Kusama’s parachains live on mainnet. Parity Technologies will also be working on Kusama’s governance during this phase.

Kusama Phase 4: Polkadot (November 2020 – February 2021)

The fourth phase of Kusama is Polkadot. The goals of Polkadot are to launch Kusama’s DOT tokens and to get Kusama’s parachains live on mainnet. Parity Technologies will also be working on Kusama’s governance during this phase.

Kusama Phase 5: Kusama (February 2021 – May 2021)

The fifth and final phase of Kusama is Kusama. The goals of Kusama are to launch Kusama’s mainnet and to get Kusama’s parachains live on mainnet. Parity Technologies will also be working on Kusama’s governance during this phase.

By 2022 Kusama will have completed all 5 of its phases and will be a full functioning network. Kusama is one project to keep an eye out for in the coming years.

Final Say

The total supply, current price, and highest price of KSM can still increase if Kusama becomes more popular and if Kusama’s technology is adopted by more projects. Kusama (KSM) has a lot of potential and Kusama is a project to keep an eye on in crypto space.

KSM holders have the potential to earn a lot of rewards if they stake their Kusama tokens and if Kusama becomes successful. If you want to invest in Kusama remember to ask for investment advice.