At the beginning of 2021, the encryption world ushered in the first spring of the year. Bitcoin rose to US $41000, followed by Ethereum, which is about to break through the previous high. Many mainstream DeFi currencies have also doubled. Obviously, a new round of bull market is coming.
A single flower does not make spring, while one hundred flowers in full blossom bring spring to the garden. In such a good harvest season, Kortho chain is about to meet the first production reduction after the main network goes online.
According to the rules of Kortho chain white paper, on January 22, 2021, around the time stamp of 31654970 block, Kortho chain KTO will usher in the first production reduction after the main network goes online, with the overall production of 0.4946 per block reduced by 20%, and the production of 0.3956 per block after the reduction. The production reduction proposal has obtained 17 votes of support and 2 abstention from the main network super node, with more than 2 / 3 of the votes, and the proposal was passed.
The reduction of KTO production will mean that the supply and circulation in the market will be greatly reduced compared with before. At the same time, the global market of Kortho chain is gradually expanding in Korea, Japan, the United States, and other countries. Many applications of DeFi and people’s livelihood in Kortho chain ecosystem are also expanding, and the application scenarios are releasing more liquidity, KTO’s global community consensus is gradually strengthening. Under this premise, the reduction of KTO production will further cause the scarcity of liquidity and bring new vitality to the market.
According to Kortho chain’s token model, the total amount of KTO is constant, with a total of 88.48 million pieces issued. The first year’s output is 14460249.6 pieces, and then the annual output is reduced by 20%. The second year’s output is 11568199.7 pieces, which is decreasing year by year. The time period for the total amount to be excavated is about 136 years.
Specifically: KTO allocation rules are: 40% team operation and maintenance, 30% Application Award, 30% node mining. Among them, 30% is allocated to 19 super nodes participating in mining. There are 36 candidate nodes running for 19 super nodes, once a month. Every user holding KTO can vote for the super node. The elected super node has various rights and interests such as project governance voting and project income dividend, and the users participating in the node voting will also get the corresponding voting incentive.
The output mechanism and mining mechanism of Kortho chain KTO are fully deflationary, mainly in two aspects: the decreasing production year by year and the locking mechanism of super node voting. The decrease of mining output leads to the decrease of supply year by year, and the voting lock of super node KTO leads to the decrease of market circulation. The dual deflationary effect results in the increasing scarcity of KTO. When the supply and circulation of KTO with constant total amount are becoming more and more scarce in the market, the value of KTO will become increasingly prominent.
On the occasion of the first production reduction of Kortho chain, Singapore Kortho chain foundation revealed four major innovation areas in the coming year:
1) DAPP ecological support fund will be set up to support the development of wider DeFi applications：In the past 2020, nearly 10 DeFi applications have chosen to develop based on Kortho chain. Moreover, it is estimated that dozens of DeFi projects will choose to develop applications based on Kortho chain in the next year, which will further enrich the application varieties of Kortho chain. Many developers will face such problems as: network congestion, high service charge and high user threshold when developing the DeFi application based on Ethereum. However, the development of the DeFi project on Kortho chain is favored by developers because of its fast network speed, negligible service charge, easy operation and lower user threshold.
2) Condense liquidity and support DEX decentralized exchange: with the need for liquidity of various DAPP applications, community developers have developed DEX decentralized exchange based on the bottom layer of Kortho chain. The emergence of the decentralized exchange has three meanings: 1. Setting up all kinds of trading pairs matched with KTO can promote the conversion efficiency between assets, further enlarge the market circulation rate of KTO, and improve the price stability; 2. More open and transparent chain trading data can avoid the background data manipulation problem of the centralized exchange, and give users a more free and fair trading ring Third, the open source development environment and transparent mechanism can provide a transparent development and operation environment for more project developers and further expand the prosperity of application ecology.
3) Join Silicon Valley technology market partner to expand global market: in order to further improve the overall technology R & D capability, Koto chain specially hired Dr. Jeff Liu as the overseas technical advisor of Kortho chain, who is responsible for guiding the underlying technology upgrading and global business development of Kortho chain. In the coming year, the marketing team led by Dr. Jeff Liu will gradually expand the global market of Kortho chain, from South Korea, Japan to the United States, and make the ecological layout of Kortho chain to the world.
4) Add the mainstream application of people’s livelihood to realize the landing of industrial blockchain: At present, Kortho chain has laid out landing applications in e-commerce, local life, DeFi and other fields. In the future, it will respond to the trend of industrial blockchain and continue to make efforts in the field of people’s livelihood. For example, around data elements, it will explore technical solutions such as data right confirmation, digital identity, privacy protection, and around public chain services, it will focus on product traceability, chain reform, e-commerce transactions, media applications, supply chain finance, etc. aspect tries to apply the bottom layer of blockchain to high-frequency interactive application scenarios.
Overall, the key words of public chain production reduction, DAPP ecological fund establishment, DEX exchange coming online, senior partner joining, people’s livelihood landing application practice and so on will be the main melody of Kortho chain in 2021. In the past year, Kortho chain has completed the foundation from 0 to 1. In the next year, Kortho chain is trying to create more possibilities from 1 to infinity.