Kraken users excited as exchange rolls out Parachain auction platform

By: Ali Raza
Ali Raza
Ali plays a key role in the cryptocurrency news team. He loves travelling during his spare time and enjoys… read more.
on Jun 9, 2021
  • Kraken has rolled out the Kusama Parachain for clients to take part in crypto-related activities securely.
  • The new platform will allow users to qualify to stake Kusama’s KSM tokens as they vie for a Parachain slot.
  • Only 100 Parachains will be available at the moment, but it is expected to change over time.

Kraken cryptocurrency exchange has announced its support for the Parachain Auctions, which is taking place on the Kusama “canary network” for Polkadot (DOT/USD).

Following the launch, the exchange’s clients are now able to Parachain Auctions, slated to hold in the next few days. However, some clients in selected jurisdictions have been exempted.

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Kraken’s Chief Product Officer Jeremy Welch, commented on the development, saying that the platform is more than an exchange. He reiterated that Kraken gives clients the chance to securely take part in a wide range of crypto-related activities. Welch added,

Kraken is proud to support these activities, as our role is to be a key infrastructure provider for space.

Users will qualify to support the Kusama projects

The exchange stated that the launch is a “first-of-its-kind, which allows clients to participate directly from the platform.

Based on a blog post, the new platform will allow users to qualify to stake Kusama’s KSM tokens as they vie for a Parachain slot.

Rewards will be given to contributors that offer their support to a winning bid, the rewards differ, and may include airdrops, early participation bonuses, and referral bonuses.

Polkadot’s multi-chain ecosystem also includes sharded sidelines that can process transactions in parallel. Based on the arrangement, a project will have the right to use the Parachain slot for 48 weeks. However, the project will be determined based on a bidding process.

The platform is not available in the US and Canada

There will be only 100 Parachain slots available at this stage, but it is expected to change over time via protocol governance votes.

The platform is currently available to residents in Australia, Japan, Canada, and the U.S. It will be supporting bids of at least two projects, beginning with Shiden and Karura. However, more other projects will be allowed in subsequent networks.

Karura is a stablecoin platform and a DeFi hub for the Kusama (KSM) network. It provides access to liquid staking, a decentralized exchange, and a crypto-centralized stablecoin.

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