Kaia Mainnet Launch: LINE and Kakao Join Forces to Create Asia's Largest Blockchain Ecosystem

Kaia: Harnessing the potential of 250 million users with two major Asian social giants, Line and Kakao.

On January 16, 2024, two leading blockchain platforms in Asia, Klaytn and Finschia, announced the launch of a unified mainnet plan. These two mainnets originate from the two major internet giants Kakao and LINE in South Korea and Japan, respectively. On August 29, 2024, the merged Kaia mainnet officially went live. By combining their respective ecosystems and assets, Kakao and LINE plan to create a giant blockchain in Asia and gradually lead the global Web3 market.

Sam Seo, the chairman of the Kaia Foundation, holds a Ph.D. in high-performance computing and previously served as CKO at KrustUniverse, where he was responsible for leading the development and operation of Klaytn. He also served as the Chief Technology Officer at GroundX, Kakao's blockchain subsidiary, and worked as an assistant computer scientist at Argonne National Laboratory.

The joint support from two giants, Kakao and LINE, has injected powerful momentum into Kaia's development. Kakao has a usage rate of 96% in South Korea and also has a significant influence in Vietnam. LINE is particularly loved by users in Japan, Taiwan, and Thailand. Together, they contribute to a potential user base for Kaia exceeding 250 million, significantly enhancing its global coverage. With such a vast user base, Kaia is expected to greatly increase the popularity and acceptance of blockchain technology in the East Asian market, laying a solid foundation for the large-scale application of blockchain technology; further creating a large-scale and vibrant Web3 ecosystem, the largest in Asia. Other investors in Kaia include Hashed, IDG Capital, and others.

With Line and Kakao, two major Asian social giants, and the potential of 250 million users ready to go, can Kaia replicate the myth of TON?

Kakao and Klaytn

Kakao Talk is one of the most popular instant messaging applications in South Korea, with nearly 49 million monthly active users in Q3 2024, of which 90% are from South Korea. The company employs over 17k people, and the operating profit for Q3 2024 was 130.5 billion KRW (93.48 million USD), a year-on-year increase of 5%. The platform division, including Kakao Talk, saw growth, with revenue increasing by 7%, reaching 943.5 billion KRW (707.63 million USD).

Klaytn was designed from the beginning for DApp developers and enterprises. The ecosystem enables developers to unleash their creativity and enhance user experience. This provides a strong technological foundation for Kaia. Klaytn's cumulative transaction volume is $376 billion, with over 29 million Web3 wallet users and more than 240k community members. The ATH Onchain TVL reached over $1 billion, and it also has a strong influence in Singapore and Vietnam.

The Korean market is inherently crypto-friendly, and its local exchange Upbit has become a leading exchange in the crypto industry, with Web3 projects taking pride in being able to log in to Upbit. Against the backdrop of Korean users engaging in crypto trading nationwide, the ceiling of Kaia will undoubtedly bring us unlimited imagination.

With Line and Kakao, the two major Asian social giants, 250 million users are poised for potential growth. Can Kaia replicate the myth of TON?

Line and Finschia

As the most popular communication platform in Japan, LINE covers 70% of the Japanese population and also dominates markets such as Thailand and Taiwan. In Japan, the monthly active users reach 92 million, while the number of users in Thailand exceeds 51 million (making it the most popular social platform in Thailand), the number of users in Taiwan reaches 21 million, and the Indonesian market also has 13 million users. This high user penetration rate provides a solid foundation for its advertising, payment, and content services. For example, a major survey on LINE usage conducted by Nielsen in 2024 found that 92.1% of Taiwanese people aged 15-65 used LINE in the past seven days, with nearly half of the users being heavy users, checking LINE an average of 14 times a day for messages.

Compared to other social platforms, LINE's unique ecological integration capabilities stand out particularly. Users can consume its rich content products on LINE, including over 300,000 comic books and 9 games that integrate social interactions. This diversification of features gives LINE a significant advantage in maintaining user engagement. Additionally, an average usage time of over 4 hours per week highlights its irreplaceability in users' daily lives.

This comprehensive ecosystem provides Kaia with a unique strategic advantage. LINE's user base is highly concentrated and active, and the integration of its advertising and payment features allows brands and services to precisely reach their target audience. In addition, LINE's regionalization strategy ensures that the content on its platform closely matches the cultural needs of its users, creating an efficient path for Kaia's localized promotion.

LINE's payment ecosystem also demonstrates its potential in the blockchain economy. With 40 million monthly active payment users and an annual transaction volume exceeding 12 billion USD, LINE Pay has provided its users with a seamless digital payment experience. This payment infrastructure, combined with its highly refined advertising capabilities (reaching over 200 million users monthly), offers a natural advantage for blockchain projects in landing and expanding in the Asia-Pacific market.

Particularly noteworthy is the LINE Miniapp project, which serves as a bridge connecting Web2 and Web3. This feature not only allows existing users to easily access decentralized applications but also creates a highly compatible development environment through deep integration of its payment, advertising, and communication ecosystems.

The blockchain Finschia under LINE was launched as early as 2018. After about 5 years of development, it has more than 5.6 million Web 3 wallet users, over 170k community members, and holds an important position in Japan, Taiwan, Thailand, and Abu Dhabi.

LINE's strategic direction indicates that in the future Web3 world, it will be not just a participant, but also a promoter and accelerator, helping the entire industry bridge the critical gap from technology to mainstream application.

With Line and Kakao, two major Asian social giants, and the potential of 250 million users ready to take off, can Kaia replicate the myth of TON?

Currently, Kaia has confirmed that it will launch the SDK for Line mini programs and will debut the first batch of Line mini program applications in January 25, meeting regulatory requirements. Regarding Kakao, among the 6 council members of Kaia, 3 are from Kakao's blockchain Klaytn. Additionally, Kakao and its affiliates hold approximately 9.8% of Kaia's total supply and are actively involved in its governance. However, the current regulatory uncertainty in South Korea hinders Kakao from playing a more active role in blockchain initiatives, such as launching mini dApps like LINE. Nevertheless, once these regulatory uncertainties are resolved and the mini dApp services of LINE succeed, Kakao is expected to fully embrace blockchain integration.

Token Economics

Token $Kaia

Kaia's native token KAIA plays a core role in the blockchain economy, used to pay transaction fees when creating or executing smart contracts or transferring KAIA. It is not only a means of payment for transactions but also provides the necessary power for the normal operation of the entire system.

  1. Incentive Mechanism: The platform's customers incentivize Consensus Nodes (CNs) by paying KAIA, as these nodes are responsible for validating transactions and executing smart contracts. Simply put, the nodes provide computing power and resources, and users pay KAIA in return, creating a mutually beneficial relationship.

  2. Enhance Development Quality: The fees paid using KAIA are proportional to the complexity of the smart contract and resource consumption. If a developer's code is too inefficient or redundant, executing that code will be more expensive. This mechanism encourages developers to optimize code quality and avoid wasting computational resources.

  3. Maintain Network Health: CN nodes support network operations by consuming computing power and bandwidth. Receiving KAIA rewards can incentivize more nodes to participate in the consensus process, thereby ensuring the decentralization and stability of the network.

Each new block will automatically issue KAIA tokens, with an initial annual inflation rate of 5.2%. The block reward distribution is as follows:

  1. CCO and Community: 50% (20% Block Creator Reward, 80% Staking Reward)
  2. KEF (Kaia Ecosystem Fund): 25%
  3. KIF (Kaia Infrastructure Fund): 25%

This distribution model not only incentivizes network participation but also supports the growth and development of the Kaia ecosystem.

The on-chain governance system implemented by Kaia aims to achieve fairness and inclusivity:

  1. Voting rights are proportional to the number of KAIA tokens invested.
  2. The cap on voting rights can prevent the opinions of a minority from being suppressed.
  3. Allow voting rights delegation.
  4. All governance proposals are recorded on-chain to ensure transparency.

From the perspective of coin price, Kaia's performance has also been very impressive. Since Klay was renamed to Kaia and went live, it has been on the rise.

With the two major Asian social giants Line and Kakao, with 250 million user potential ready to go, can Kaia replicate the myth of TON?

Governance Council

With technological advancements driving the rapid growth of the metaverse, decentralized autonomous organizations (DAOs) and developers are becoming important forces in the new economic paradigm. Kaia is keeping pace with this trend by launching the Kaia Governance Council (GC), composed of 31 trusted early members, most of whom are top institutions. These include: Kakao, Google Cloud, GS HomeShopping (the number one multimedia retailer in South Korea), LG Uplus (part of South Korea's largest company, LG Corporation), Hanwha Systems (the second largest non-bank financial group in South Korea), Everrich Group (a real estate developer with a primary business focus in South Korea, Taiwan, and Southeast Asia), HashKey (a leading fintech group headquartered in Hong Kong, focusing on blockchain development), NEOPLY (a leading startup accelerator under NEOWIZ, which is a large South Korean online gaming company specializing in blockchain investments), and more.

Through this choice, the Kaia platform has successfully achieved stable operation of the mainnet, ensuring rapid and efficient advancement of technological stability and operational implementation during the early stages of the platform's development, laying a solid foundation for the subsequent innovation of governance models.

Moreover, Kaia has expanded the membership of GC from traditional enterprises to DAOs and builders to meet the demands of the new era. Kaia's ultimate vision is to become a fully decentralized "DAO of DAOs," unifying the voices of all governance entities through on-chain mechanisms. This is not only a technological innovation but also represents a true transformation of the governance structure—empowering all stakeholders with a greater voice and setting a new benchmark for the decentralized development of the metaverse.

Kaia's governance framework is not only a core pillar of its platform development but also a key highlight in attracting global developers, communities, and organizations to participate. With a governance mechanism that combines foresight and flexibility, Kaia is laying a solid foundation for the sustainable growth of the blockchain ecosystem.

In addition, Kaia has closely collaborated with government departments, for example, the Bank of Korea has chosen its parent company Ground X as the main technology provider for the blockchain-based digital won simulation.

![With two major Asian social giants Line and Kakao, and a potential of 250 million users ready to take off, can Kaia replicate the myth of TON?](

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NftDeepBreathervip
· 23h ago
The Asia Blockchain has finally made its debut.
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DAOdreamervip
· 23h ago
Let's go! Charge!
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MemeTokenGeniusvip
· 23h ago
So amazing? Here we go again with the BTC.
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RektButAlivevip
· 23h ago
It looks like Asia is about to win big.
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BlockchainThinkTankvip
· 23h ago
Based on years of experience, it is advisable to approach this merger concept speculation with caution.
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