Kaia public chain actively布局 stablecoin market, looking forward to迎来 "stablecoin summer"

Recently, the Kaia public chain has become the focus of the crypto market due to the strong performance of its token price. Since its official launch in August 2024, Kaia has been continuously working on technical performance and ecosystem development. Recently, its actions in the stablecoin and payment sectors have sparked heated discussions among industry investors. The CEO of the Kaia Foundation stated, "Kaia's stablecoin summer is coming soon," hinting that its fiat-pegged token plan is about to enter the implementation phase.

With the new government taking office, supporting the issuance of stablecoins pegged to the Korean Won has become a new policy direction for South Korea. The Kaia team announced plans to launch a Korean Won stablecoin in collaboration with several super apps. This news has driven a significant rise in related stocks and the Kaia token, reflecting the market's optimism about the prospects of locally issued stablecoin projects in South Korea.

South Korea's favorable policies, Kaia stablecoin project launched

After the new South Korean government proposed policies to support the local currency stablecoin in 2025, Kaia quickly responded and announced plans to launch the Korean won stablecoin. Following this announcement, the prices of related concept stocks surged, and the market is filled with expectations for the Korean won stablecoin.

The KRW stablecoin project proposed by Kaia is being promoted by multiple parties and is currently still in the planning stage, with no specific issuance timetable yet. Thanks to its digital wallet infrastructure and payment system, the related partners are widely regarded as potential beneficiaries of the local stablecoin.

The current South Korean government is formulating the "Basic Law on Digital Assets" and actively discussing a regulatory framework that allows private institutions to issue stablecoins. The draft bill aims to relax rules for cryptocurrency exchanges and reduce capital requirements for stablecoin issuers.

However, according to the South Korean Constitution, the issuance of legal currency is the prerogative of the central bank, and private institutions face legal obstacles when issuing fiat-pegged tokens. The Bank of Korea has expressed concerns about these proposals, arguing that indiscriminately issuing stablecoins denominated in Korean won could affect the competitiveness of the won.

In terms of policy orientation, the head of the Digital Asset Committee of the ruling party in South Korea stated that they would support private issuance and plan to clarify the legalization of stablecoins in the "Fundamental Law." The group that Kaia relies on itself has large-scale payment and financial infrastructure, which provides a convenient channel for the practical use of stablecoins in the future.

Despite the enthusiastic market response, the prospects of the Kaia stablecoin project still have uncertainties. Issues such as monetary sovereignty and compliance with anti-money laundering regulations remain difficult to overcome, and the issuance and redemption mechanisms of the stablecoin also need to be validated. Additionally, several potential competitors are also targeting this market. During the related experiments conducted by the Bank of Korea, several large banks have announced plans to jointly issue stablecoins.

Therefore, while Kaia's stablecoin plan has attracted market attention, it still faces many challenges in obtaining regulatory approval and being successfully implemented.

Social giants join forces, potential user base is massive

Kaia public chain is a large blockchain network primarily aimed at the Asian region, formed by the merger of two well-known blockchain projects backed by major social platforms, and is officially launched in August 2024. Its goal is to reach hundreds of millions of Asian users by seamlessly integrating Web3 services with mainstream social applications.

Thanks to the distribution capability of over 250 million users from two major social platforms, Kaia has always been regarded as one of the potential stocks to promote the popularity of cryptocurrency applications. This year, the Kaia Foundation has raised funds from multiple investment institutions to support ecological incubation and market promotion.

Before the merger, the two original projects achieved significant results in their respective fields. One project held an important position in the Korean blockchain network, with a rapid increase in the number of users; the other project performed outstandingly in the NFT field, accumulating over 5.6 million users and completing approximately 560,000 NFT transactions. After the merger, Kaia inherited the advantages of both projects, covering multiple application scenarios such as DeFi, gaming, NFT, and payments.

As an Ethereum-compatible Layer 1 public chain, Kaia technically adopts an optimized consensus framework. According to official documentation, the Kaia network can process up to 4,000 transactions per second, with a block generation time of just 1 second and instant transaction finality. Kaia employs a consensus mechanism tailored for enterprise and service scenarios, ensuring that once a block is generated, it is definitively confirmed, eliminating the traditional risk of block rollback.

In terms of technical features, Kaia supports account abstraction and fee delegation, significantly simplifying the user experience; it also integrates identities and payment channels from mainstream social platforms, allowing ordinary users to use on-chain services without additional registration. Kaia also maintains compatibility with EVM chains like Ethereum and plans to support more smart contract standards; its integration with industry-leading cross-chain bridge capabilities provides developers with flexible multi-chain interoperability.

Expanding from the gaming sector to financial services

At the initial stage of its launch, Kaia's user and funding metrics are at a starting level. In the ranking of total value locked (TVL) in DeFi, Kaia currently ranks around the top fifty globally. In terms of on-chain activity, it has been officially disclosed that over 40 million users have accessed the Mini DApp portal. The number of wallets and transaction volume have rapidly increased in the early stages, but the overall level is still lower than that of mainstream public chains.

In terms of ecology, Kaia integrates the application ecosystems of two original projects, forming a comprehensive ecosystem covering multiple fields such as DeFi, NFT, GameFi, and Real World Assets (RWA). According to official statistics, there are already over 420 decentralized applications and game services that have been or are planned to be launched on the Kaia network after the merger.

To support ecological development, the Kaia Foundation has launched a Builder Support Program to provide multifaceted support for promising Dapps, helping them reach Web2 and Web3 users. The program offers a total of $10 million in token rewards for user acquisition and incentives.

In the DeFi sector, Kaia has launched multiple decentralized exchanges and staking, lending projects, and the platform also supports stablecoins, cross-chain bridges, and other infrastructure; in terms of NFTs, Kaia inherits the existing user base of the original platform; its GameFi ecosystem benefits from the user groups and partner resources of two major social platforms, and some game developers have started to launch mobile games, NFT items, and other content on Kaia.

Kaia also launched the Dapp Portal, which opens up to users through the official accounts of social applications, allowing access to games, social interactions, trading, and other Mini DApps within the chat interface without the need to download and install any new applications. In January this year, Kaia jointly launched the first batch of 32 Mini DApps, where users can create wallets, play games, claim rewards, trade NFTs, and more, all without the need to install a separate client.

In its official strategy, Kaia is gradually expanding from the gaming sector to financial services and general applications: by early 2025, it has launched a US dollar stablecoin yield product on its partner platform, with future plans including the introduction of lending, perpetual contracts, payment, and asset tokenization DeFi protocols, as well as achieving seamless exchange functionality between the Korean won and stablecoin.

In May this year, a well-known stablecoin issuer officially deployed its USD stablecoin on Kaia, providing stablecoin payment and cross-border transfer services to nearly 200 million users, marking further expansion of Kaia's layout in the international stablecoin ecosystem. Overall, Kaia is accelerating the construction of a platform-level ecosystem and promoting the use case of "message as entry, on-chain as payment" together with industry partners.