Kalata COO Kerry Wu was invited to join the AMA in the Soteria community on June 16th. Please read the transcript, to learn more about Kalata.
The AMA transcription is divided into two sections:
Section 1: Q&A session between Kerry and the host of the Soteria community.
Section 2: Q&A session between Kerry and Soteria community members.
I. Q&A with Host
Host: Let’s jump onto our questions right away. Please describe the Kalata to a new user. What’s Kalata vision and mission?
Kerry: Kalata Protocol (KALA) is a synthetic asset protocol. The ﬁrst version of Kalata can realize a 1:1 peg to the stock price, allowing users from the traditional ﬁnance world to learn Defi at a lower cost. There is no need for complicated processes.
Users will only have to connect his/her decentralized wallet to Kalata DApp and then they can trade global mainstream assets like Tsla.US, BIDU.US, Coin.US, the Dow Jones, ARKK (ARK Innovation ETF), SPCE.US (Virgin Galactic Holdings Inc), PACB.US (Paciﬁc Biosciences of California), etc. This is a very thrilling innovation.
Kalata hopes that Defi is not only the play toy of a small group of people, like geeks. Kalata is the ﬁrst step traditional ﬁnance traders take to enter the Defi world.
Kalata will help more and more users to explore the main form of future ﬁnance, making Defi mainstream.
That’s the Kalata vision and mission.
Host: Wonderful. We can go on to our next question. Could you please give us a brief introduction to how Kalata operates?
Kerry: Well, Kalata synthetic protocol allows everyone to mint synthetic asset tokens by
locking in collateral, and users can gain the equity of assets without obtaining them.
Currently, Kalata uses BUSD to mint synthetic asset tokens and will support more stablecoins in the future. Through the AMM mechanism deployed in the decentralized exchange, transactions of synthetic asset tokens can be automatically executed without matching buy & sell orders. For providers of synthetic asset trading liquidity, they can earn transaction fees paid by traders. This is a brief introduction to the operation mechanism of Kalata. For those who are interested in details, please visit our oﬃcial website to download the white paper.
this is our website link: https://www.kalata.io/
Host: Great intro. Moving on to our next question:
Synthetic assets are not new stuﬀ in the crypto world, so what is the competitive edge of Kalata? Or can you brief us on the highlights of Kalata?
Kerry: At present, the threshold of using synthetic asset platforms is still high. And the scope of users is limited to a part of token holders. As I mentioned before, Kalata’s vision is to lower the barriers to use of blockchain products, as well as to continuously increase the user base including those from the traditional ﬁnancial world. Therefore, user-friendliness is our tenet throughout the development and operation of Kalata.
First of all, our product interface is simple but eﬃcient. We have a perfect user guidance system so that even new users can easily complete the whole set of operations on our platform.
Secondly, in the choice of the underlying layer of blockchain, we see that Ethereum is currently facing the situation of ultra-high gas fees and congestion, so we chose the more economical and eﬃcient Binance Smart Chain to deploy our protocol.
In addition, our team has also seen the high scalability of the Near protocol and plans to deploy Kalata to the Near protocol at the same time.
It can be said that all Kalata's choices are based on user experience. If there are better and faster technologies in the future, we are willing to make such attempts.
Host: Let’s jump to the next question: Tell us something about the KALA token, please.
Kerry: Ok, first, the Kalata Protocol token is named KALA. KALA is based on the BEP-20 standard with a total issuance of 200 million. 11% of the total KALA is retained by the foundation; 40% is used to motivate users to participate in synthetic asset mint, 15% is used for private selling, and 34% will be distributed to the community.
Note that the total amount of KALA tokens immediately after IDO will be 120 million, with an initial circulation of 7,027,666. Assuming the token price of $0.25 USD at IDO, the initial market cap will be $1.75 million USD. There is deﬁnitely room for improvement compared with other synthetic asset projects in terms of valuation.
In Kalata Exchange transactions, a 0.03% fee is charged per transaction and the fee enters the staking pool and serves as a reward for the mortgagor. The mortgagor can receive the KALA reward once a week, which is derived from the income of the Kalata system. Users who conduct derivatives transactions can also get rewards of KALA tokens based on the proportion of the transaction amount to the total transaction volume.
Host: Exciting times for KALATA ahead based on the information you have just to our next question:
When was the idea behind the Kalata Protocol born, and what led to it?
Kerry: Ever since the founding of the New York Stock Exchange in 1817, the global security market has had a history of over 200 years. Today, the global securities and ﬁnancial markets are highly mature, institutionalised and oligarchic. It is not rare that people sometimes face injustice in the ﬁnancial and trading world.
After the core contributors of the team came into contact with DeFi and spent a long time prudently studying and researching, using their past investment experience, they realized that DeFi and synthetic assets will be the main part of the future in the ﬁnancial sector.
The Kalata team all think that DeFi is a topic with a very high learning threshold and too many terms that are obscure and diﬃcult to understand. And the crypto market is a market of high volatility. Thus, a simple and easy way to enter the crypto market is the original thought in our heart when we initiated the Kalata Protocol Dapp.
Kalata Protocol is a carrier of intrinsic value regardless of all the twists and turns in the future crypto area. Kalata will be the credible and reliable partner of users through the bulls and bears.
Host: What are the main advantages of Kalata Protocol for the user, compared to a similar project from a mainstream ﬁnancial market?
Kerry: The early version of the Kalata Protocol anchored stock assets. Users held the right to the investment return on corresponding stocks, in addition to dividend rights and voting rights. Kalata is essentially more of a mimicry to asset prices. The ﬁnal result of DAO governance can make Kalata a censorship-resistant asset platform. Thus all important assets in the global mainstream ﬁnancial market can theoretically become tradable assets on Kalata’s platform. This is because DeFi allows split and combine, just like the lego pieces. Therefore, Kalata’s capability to satisfy the needs for decision-making and eﬃciency is highly superior to the mainstream ﬁnancial market. The changes Kalata is able to bring are similar to the convenience and tremendous changes brought by Uniswap.
In addition, the early and long-term supporters of Kalata Protocol come from the mainstream ﬁnancial subdivisions such as trust, banking, and securities. They have very professional experience and attainments in the traditional ﬁnancial ﬁeld and are not complacent. The long-term supporters of Kalata Protocol will inﬂuence and inspire more traditional ﬁnancial users.
In the early days, Kalata will show its unique professional advantages in terms of the selection of security categories and the risk-return ratio that are impossible to replicate. Therefore, users will grow fond of Kalata as time passes by.
Host: Wonderful I know KALATA has been running for a while now. So it’s fair we know your current progress:How is the project going so far?
Kerry: Our product development is coming to an end, and the ﬁrst version of Kalata Exchange will be launched soon. In April, we carried out a round of airdrop activities targeting the community members, and the number of active participants is at least 4000 to 5000 on a regular basis. We would like to mention that Kalata has a very active community. The number of users of our Telegram group and Twitter followers have both exceeded 40,000. Everyone is looking forward to the launch of Kalata.
We can say that we already have a very solid user base.
Host: To our last but one question for this session
What are the future milestones to look out for with Kalata?
Kerry: The ﬁrst milestone is our IDO, which is set to launch in the upcoming month. Regarding our product, we will launch our Kalata Exchange V1 on around 06/15/2021, and soon people can trade real world assets on BSC with the help of Kalata. We are also combining development resources in Near Protocol, trying to launch Kalata synthetic asset trading platform based on the Near protocol as soon as possible.
Host: Final question for this section, where do you see DeFi and BSC in ﬁve years?
Kerry: It is hard to imagine that mobile payment and e-commerce that emerged 10 years ago now have such a high inﬁltration rate.
They are now ubiquitous in middle-developed countries. Traditional ﬁnance is a large industry with large numbers of practitioners and groups. They are highly professional. Their trading strategies, trend analysis, quantitative trading techniques, or cross-market arbitrage, each segment of the traditional ﬁnancial industry is worth learning and admiring.
We believe that more and more intelligent practitioners from the traditional ﬁnance industry will join the DeFi trend, which is determined by the incentive eﬀect brought by the DeFi premium dividend.
The development of cryptocurrency has shown a very high speed. If we see this optimistically, there will be some unexpected changes in ﬁve years. The speciﬁc form of it and the changes it will bring to life are indeed diﬃcult to predict. But DeFi will deﬁnitely be valued by more and more people.
Users will have a smooth experience when doing transactions across diﬀerent chains within 2–3 years. With just a few simple steps, you can get access to a variety of global assets that match your risk appetite. This will be the most comfortable investment experience. Kalata Protocol hopes to see the BSC community grow more powerful and stable. There will be more simple, easy-to-use DeFi applications that can be integrated into the daily life and ﬁnancial management of ordinary users. To this end, Kalata will contribute unremitting eﬀorts and support to the BSC community.
II. Q&A with Soteria community members
1. Currently the DeFi project is on fire. But you know very well that contract security is a big issue in DeFi. Has your smart contract been audited? How do you guarantee the protection of users’ funds?
Kerry: Regarding our contract, we are currently working with Certik, and the audit has already started. After the audit is done, the reports will be immediately available to the public. In the meantime, the code will be open source, and reward for discovering bugs will be implemented.
Our code is audited, and there will be very strict internal tests to eliminate security vulnerabilities. Liquidity lies in the user base, and there will be a process. In terms of liquidity, we will have market maker partners. Both of the above conveniences will be guaranteed!
2. Why did you choose BSC to build?
Kerry: At present, Ethereum is currently facing extremely high gas fees and congestion. Thus the vigrance shown in the Binance Smart Chain community is inevitable. We sincerely hope that the Binance Smart Chain community will continue to work hard.
BSC’s high public chain performance and low gas fee provide a solid foundation for Kalata Protocol. At the same time, the high TVL of BSC will make the Kalata Protocol even more powerful, making Kalata one step closer to its mission and vision.
Also we have also seen that there are many excellent DeFi projects and teams in the BSC ecosystem. Kalata Protocol is very much looking forward to cooperating and communicating with them to promote the advancement of BSC and DeFi ecology together!
3.How does your anti-price dump mechanic work? This means I’m not free to sell whenever I want? Doesn’t sound very attractive to me tbh
Kerry: We welcome long-term investors who have a deep understanding of kalata, which takes time and patience to develop. If you know kalata well, there is no such doubt.
Time produces value, which will be reflected in the price of a perfect feedback. Be a friend of time,that’s beautiful anticipation!
4.As a community based project, How can I donate my quota for your success? Do you have a Global Ambassador Program or a Referral Rewards System?
Kerry: Regarding this question, Kalata will launch a related community Referral System in the future, you can follow our official Twitter account for the latest news : https://twitter.com/KalataOfficial
Host: Great! We want to thank everyone for participating. And our host for sharing such important information with us.
Kerry: Thank you all!