Over the past two years, the Kambria team has spent countless hours working diligently to bring our community of developers, platform users, corporate partners, and blockchain enthusiasts the most innovative open development platform available. When we originally set out on this journey, we were aware of the scaling limitations that many blockchains face. We have always remained blockchain agnostic, and kept the conversation open to either moving to another blockchain or to creating our own. Today, we still hold to this conviction. We remain open and believe that our entire community can benefit from exploring the most promising solutions in the space.
It is our great pleasure to announce that Kambria’s application to join Binance Chain has been approved! Kambria will migrate our current circulating KAT to the Binance Chain. Our intention is to offer interoperability of our current ERC-20 tokens with the newly minted KAT BEP2 tokens to retain both smart contract functionality, while also providing the tremendous benefits of the Binance Chain ecosystem. We are also applying to be listed to the Binance DEX, the world’s largest decentralized exchange.
Why Binance Chain?
Both Binance Chain and Binance DEX have quickly taken the world by storm with lightning fast transaction times, safety, adoption, and now, decentralization. As believers in this decentralization, we feel the Binance DEX feature built on top of Binance Chain is the pinnacle for providing fast and secure liquid trading. Many centralized exchanges have had their share of incidents that have crippled some unsuspecting traders, and left many people hesitant to use them. Binance Chain aims to solve this problem through their DEX, providing all of the features and community exposure of the Binance.com centralized exchange, while allowing traders to retain full custody of your tokens, eliminating any counterparty risks. By migrating to Binance Chain, we aim to take advantage of the speed, liquidity, and tremendous exposure that Binance and the community offer. We are thrilled to be a part of this rapidly growing and disruptive ecosystem.
From ERC-20 to BEP2
To facilitate swapping between ERC-20 KAT and the new BEP2 KAT, we will build a bridge, a tool used to swap from one protocol to another. Users will be able to change ERC-20 KAT into BEP2 KAT at a 1:1 ratio. For example, if you swap 10,000 ERC-20 KAT, you will receive 10,000 BEP2 KAT in return. The BEP2 KAT is just a different representation of the same ERC-20 KAT token.
We will issue an exact mirror of the 3.7 billion KAT supply on Binance Chain; however, all of these BEP2 KAT will be frozen until they are swapped with ERC20 tokens. As ERC20 tokens are migrated over to BEP2 using our bridge, BEP2 KAT will be unfrozen at a 1:1 ratio. This ensures that the total available supply of both chains remains exactly the same. In other words, at any given time, the combined circulating supply of both chains will not exceed our total supply of 3.7 billion KAT. (Note that Kambria’s total supply is 5 billion KAT tokens, of which 1.3 billion KAT had been burned previously.) For example, if 500 million ERC20 KAT are swapped over to BEP2 KAT, then the 500 million ERC20 KAT will be frozen, and the 500 million BEP2 KAT will be unfrozen and transferred to their owners. This process will be decentralized, transparent, and available to any KAT holders. In short, for every token available in the supply on one blockchain, there will be an equal token that is frozen and inaccessible on the other blockchain.
The primary function of the BEP2 representation of KAT is to provide liquidity to our token holders. Therefore, upon receiving positive votes from all validators and successfully listing on the DEX, BEP2 KAT will be used on the Binance DEX. After migration is complete, we will provide documentation on how to use the KAT bridge. The process will be frictionless and easy to use. Of course, if you have any questions, do not hesitate to reach out to our team.
What does this mean for Kambria and our token holders?
Our platform will continue to operate as normal. The supply of KAT will never increase and KAT tokenomics will remain the same.
Trading will continue on all of our other partner exchanges as usual. The ERC-20 representation of KAT will not change, and you will still be able to buy or sell your ERC-20 KAT on these exchanges. In the future, if we list on new exchanges, we will opt to list the BEP2 version of the token, if supported.
This is an overwhelmingly positive decision for everyone involved. We are committed to our community, and if approved for the DEX, this will allow holders to trade with confidence on the highest liquidity DEX in the world. Our intention is to facilitate the adoption and exposure for both KAT and the Binance DEX by encouraging the use of BEP2 KAT for trading. This will create a better experience overall for KAT holders who wish to buy or sell their tokens, while still retaining all of the important functionality for our developers and companies who are eager to build new frontier technologies on our platform.
As always, we’d like to thank you for all of your support during these exciting times. We look forward to working with both Binance and our community as we work to deliver the best open innovation platform and services to serve the AI and robotics industries. For more information on Kambria and our latest developments, please visit our website at https://kambria.io.
Also published on Medium.