Authors:
Kima.finance Team
Kima Network is a cross-chain and cross-ecosystem (TradFi-DeFi) transfer protocol that enables secure, seamless stablecoin, money, and message transfers – all without relying on smart contracts. With backing from Finsec Labs by MasterCard, Outlier Ventures, Blockchange Capital, and others, Kima connects Web2 and Web3 money, assets and applications. More information is available at https://kima.finance
Summary:
This proposal recommends that Frax Finance allocate an initial liquidity – targeting 100,000 FXS-equivalent to support payments with USDT and USDC stablecoins on the FraxTal Chain via Kima’s interoperability protocol.
The goal is to enhance liquidity on the FraxTal Chain and empower dapps by enabling them to accept stablecoins from major EVM and non-EVM chains, as well as fiat payments and deposits, all while maintaining a secure, decentralized, and cost-effective user experience.
Rationale:
-
Interoperability: Kima acts as a cross-chain stablecoin settlement and interoperability layer, making it easier to adopt stablecoins across difference ecosystems and chains.
-
Fiat On/Off Ramping: Its patent-pending, decentralized approach to fiat to crypto transactions eliminates smart contracts, ensuring a smooth user experience.
-
Cost & Security Benefits: By removing intermediaries, Kima reduces transaction fees, delays, and security risks.
-
Easy integration: Kima provides a SDK that allows bot centralized and decentralized apps to accept stablecoin deposits/payments from any chain.
-
Use Cases: The protocol supports bridging, swapping, payments, deposits, and fiat on/off ramping.
- Kima Advantages:
- Unified Payment Rail for digital money managed by Apps/dApps and AI Agents:
● Omni-rail payments across existing and evolving forms of digital money (fiat, CBDC, stablecoins, tokenized deposits)
● Seamless cross-border transactions without intermediaries
● Design for regulatory compliance, and institutional adoption
B) Unmatched Security and Efficiency Benefits:
● Superior Security: Immune to smart contract vulnerabilities and
counterparty risks
● Cost Reduction: No intermediaries → Lower transaction fees
● Instant 24x7 Settlement: Eliminates delays and reliance on banking hours
● Capital Efficiency: No liquidity fragmentation → Seamless flow across
For more information: (Click to learn more about Kima) , @atlasarman (Telegram)
Proposal Details:
- Liquidity Requirement: Frax will initially allocate 100.000 FXS (or in USDT/USDC) which will be converted to USDT and USDC (in equal parts) on the Kima liquidity pools. This will empower FraxTal applications with robust payment options that attract new users, improve liquidity, and drive overall ecosystem growth.
Risk Analysis:
Kima Network’s architecture avoids smart contract dependencies, significantly reducing the typical security risks associated with them. This focus on efficiency and reliability supports a secure integration for FraxTal applications.
Voting:
- For: Allocate 100,000 FXS to be converted into USDT and USDC as liquidity to the liquidity pools on Kima’s chain.
- Against: Do nothing.