To celebrate the successful launch of Kava 9 and the network’s IBC integration, Kava announced the Surge program on January 7, 2022.

Surge events boost supply APYs for newly added IBC assets in Kava Lend for defined periods, rewarded in $KAVA, $HARD, and potentially in the asset being supplied. That means enhanced yield opportunities to holders of $KAVA and other IBC market participants.

Kava is thrilled to announce Akash $AKT as the next Surge event. But first, let’s recap the now-concluded $ATOM Surge and address some significant changes following that event.

The Kava Labs team heard your feedback regarding the $ATOM Surge event loud and clear. Changes have been made to certain parameters controlling how and when assets are available to deposit and supply in Kava Lend. Cross-team communication has also been improved to streamline the Surge program.

Participants will receive more timely and transparent communication regarding the timeline for each Surge event as we advance. This ensures that all participants will have sufficient time to unstake their IBC assets to deposit to Kava and supply in Kava Lend before the Surge events begin.

In addition, the activation of supply in Kava Lend will be decided by a $HARD governance proposal. The proposal will be submitted shortly before the proposal to adjust reward distribution for the Surge event. This will ensure that users have a short window of time to supply their assets before the event goes live but will protect the projected APYs from over-supplying prior to the event starting.

With that said, the first Surge event saw impressive community interest. As soon as $ATOM supply was enabled in Kava Lend, the total $ATOM supply on the platform quickly increased to $3M. Within a couple of days, that number leaped to $10M. In the 24 hours following the passing of proposal #68, the total $ATOM supplied to Lend crossed $25M. $ATOM remains the second-largest asset supplied on Lend as of this writing.

That’s impressive! #IBCGang showed up big time for this one.

*Note: All bugs from the Kava 9 upgrade preventing users from seeing their assets in Cosmostation and Trust Wallet have been addressed. Read more about the Cosmostation integration here.

To welcome $AKT onto the Kava Network, Kava has partnered with Akash to hold a Surge event with a special Kava Launchpad stakedrop to kick things off. The partnership with Akash is structured as follows:

To get things rolling ahead of the Akash Surge event, Kava Launchpad will unleash 100,000 $AKT tokens as a one-off drop of liquid staking rewards for $KAVA stakers. This means they will get $AKT that they can immediately put into the Akash Surge, which will follow shortly after.

The Launchpad proposal will go live on February 17th, 2022, and the stakedrop will happen on February 24th, pending the proposal’s passage. This will be a $KAVA governance proposal.

The proposal to add $AKT supply to Kava Lend and activate rewards for the Akash surge event will go live on February 18th, 2022. If the proposal passes, the event will kick off on February 25th, one day after the stakedrop of $AKT.

The $AKT Surge APY will follow the supply (TVL) curve shown below:

During the Surge event, especially at the beginning, $AKT suppliers can expect to receive reward APYs greater than 140%. With time, the amount will reduce as more people supply liquidity to the pools.

As the supplied $AKT approaches $10M, suppliers will still earn about 28% APY. APYs will also be impacted by the token price of $KAVA, $HARD, and $AKT, as rewards are distributed in a combination of the three.*

Below is a graph showing how the Akash Surge APY curve will move from more than 140% towards more consistent, strong APYs as the total supply of $AKT increases on Kava Lend.

You can find more FAQs concerning the Surge program in the following links:

The $AKT Surge is coming soon. Here’s how you can get ready:

Kava (kava.io) is a secure, highly scalable Layer-1 network and ecosystem built using the Cosmos SDK. Featuring institutional-grade security and a unique user interface, Kava was built to unlock the value of DeFi for mainstream users by providing a trusted home for best-in-class DeFi services that can scale to meet global demand.

Get connected: kava.io/#get-connected