As expected from CoinCu, the first project to win the auction on Kusama (KSM) was Karuka Network (KAR).

Karuka Network is essentially a “twin project” with Acala Network (ACA) – the leading DeFi platform on Polkadot – the “sister” blockchain of Kusama.

Karuka Network is a token trading protocol on Kusama that allows users to develop DeFi solutions with low transaction costs.

To win Kusama’s first auction, Karuka raised over 500,000 KSM (valued at over $ 100 million at press time) from over 15,000 community members. The auction win information was also confirmed by Kusama on the project’s official Twitter channel.

And just like that @KaruraNetwork won the first auction and is now listed as my very first parachain. More than 15,000 network stakeholders have locked KSM in order to really add Karura to yours. Https://t.co/iVziIzPkop

– kusama (@kusamanetwork) June 22, 2021

As the first Parachain deployed on Kusama, Karuka has 48 weeks to “rent the network” to develop her solution on this emerging blockchain and prepare the necessary elements for Acala to also bid the war won and debut on Polkadot can.

Put simply, Polkadot is a blockchain made up of many blockchains. This project will help users to easily build their own blockchain on the Polkadot system.

Polkadot calls these parallel blockchains “parachains” and parachains can connect to the main network via parachain slots.

In the meantime, Kusama will act as a “test” network for Polkadot so that development teams can come up with ideas and fix vulnerabilities before they are officially uploaded to Polkadot.

The second auction in Kusama is expected to start today (June 22nd) and last 7 days. The third, fourth and fifth auctions will take place on June 29th, July 6th and July 13th.

In order to participate in the auction, projects must buy Kusama’s KSM tokens and block them for a certain period of time. The project with the highest key value wins the auction. Check out CoinCu’s analysis for a list of the next projects likely to win the Kusama auction.

Synthetic

You may be interested in: