Kusama activates the BEEFY crypto protocol

Polkadot-based canary network Kusama has officially launched the BEEFY consensus protocol, which allows its crypto ecosystem to easily integrate with the rest of the blockchain world like Ethereum, including non-EVM networks.

This is a big forward for Kusama who will be able to try to bridge the interoperability gap with other crypto networks.

The KSM crypto, despite the news, still remains far behind the performances recorded by the other tokens on the market.
All the details below.

Kusama announces the integration of the Beefy protocol which increases the quality of interoperability with Ethereum

Kusama, Polkadot’s canary blockchain conceived through Substrate, has just officially announced the activation of a new consensus protocol called BEEFYwhich enables efficient interoperable communication between the network, the Ethereum crypto network and other non-EVM infrastructure.

In detail, BEEFY allows you to verify the status of Kusama on all the parachians of the Polkadot crypto ecosystem, and more widely on most of the most used blockchains in the world.

The innovation focuses on two bridges: Snowbridge and Hyperbridge, which provide alternative data transmission channels, respectively between Kusama and Ethereum in the first case, and between layer-2 of the smart contract platform and the new emerging chains in the second.

By doing so you reach one highly interconnected blockchain spaceeasy to use and economical for the end user.

BEEFY represents a turning point for Kusama, very often marginalized due to native incompatibility with Ethereum and the inability of Polkadot-based networks to emerge in a highly competitive crypto environment.

Regarding the news, Seun Lanlege, founder of the blockchain research and development laboratory Polytope Labs, stated verbatim that:

“The BEEFY update greatly enhances the value of interacting with Kusama and the Polkadot ecosystem. More than ever, web3 users want interoperable solutions and the ability to move from one ecosystem to another without encountering friction. I expect this update to meet their expectations”

The update in question refers to the expanded vision of Polkadot which in its original 2016 whitepaper mentioned the creation of a highly interoperable multi-chain framework, capable of communicating easily with the rest of the world.

The entire crypto market of blockchain networks now seems to be headed towards a future in which everything will be accessible through a single central point, in a scenario of extreme simplification for the end user’s operations.

The current fragmentation of cryptographic products makes it complex to take advantage of all the participatory possibilities that the on-chain world offers us, with a multitude of different programming languages, wallets with different characteristics and non-linear connections.

Crypto and blockchain technologies in this sense will only be able to become mainstream when everything is interoperable and easily accessible from any starting point, with web interfaces that are much simpler and more intuitive than the current ones.

Kusama seems to be on the right track.

The Kusama (KSM) crypto is struggling to keep up with the rest of the market

Despite the excellent progress on the technological front for the Kusama network and the reduction of the gap with the Ethereum blockchain, the KSM crypto is still struggling to keep up with the growth of the crypto markets.

Although KSM has increased its capitalization by 25% in the last month, going from around $35 to the current $48, it is still far behind many of the layer-1/layer-2 tokens.

In fact, while this last category of coins usually places itself in the top 100 of the most capitalized cryptocurrencies according to the CoinMarketCap ranking, Kusama is positioned at rank #156 with 374 million dollars in value.

The KSM-USDT weekly chart gives a perfect idea of ​​how extremely crushed the currency is by a price action that has favored the bears from November 2021 until recently.

Only in the last period, from the end of October 2023 onwards, have we seen a bit of intensity from demand, which has once again made itself felt, bringing prices back up from the minimum of 16.5 dollars.

Currently the drawdown from historical highs for KSM is 92%: the road to returning to the bull market is still very long for this coin.

From a purely speculative point of view KSM offers the possibility of an increase in the short termwith prices remaining solidly above the 50 daily EMA from October onwards, with a usual breakdown attempt promptly absorbed.

The crypto will probably soon be able to return above the local maximum in the $65 area, which acts as the main graphic resistance at the moment.

In an expressly bullish context for the entire cryptographic sector, driven by the recent rally of Bitcoin and the enthusiasm of investors for the scalable future of Ethereum, it is clear that even coins like that of Kusama will be able to find the opportunity to offer a profit to its stakeholders.

Nonetheless, the overall picture does not change for KSM, which represents a highly valuable token less performing than the BTC and ETH benchmarks.