What Is the KILT Protocol (KILT)?
KILT is the native token of the KILT Protocol, which is a blockchain identity protocol. It’s used for credential issuance. If you want to see the current KILT price, take a look at the KILT Protocol price chart featured above.
The KILT Protocol allows developers to create identifiers for anything that can be identified – people, technologies, machines, and even services. The owners of these credentials get a means of representing their identities without disclosing information they would like to remain hidden. They can choose what kind of information they want to store and how much of that information they want to share.
Essentially, there are Attesters and Claimers. Attesters are the ones who issue credentials, while Claimers are the ones who own and control them. Even though blockchain technology is used for validating credentials through hashes, no personal information is stored on the blockchain itself. Besides, Attesters can revoke their credentials by creating new hashes anytime they want.
Who Founded the KILT Protocol?
The KILT Protocol crypto project was founded by Ingo Rübe in 2018. Though in 2021, KILT was launched as a parachain on Kusama.
Rübe has a degree in computer science. Before founding KILT, he worked in such companies as Fresenius Netcare, Torex Retail, Axel Springer AG, and Burda Magazine Holding. He was also a member of the board of directors at Drupal Association. Besides, Rübe founded Sunblog, Greek Energy Funds, and BOTLabs.
How Does the KILT Protocol Work?
The KILT Protocol was developed using Parity’s Substrate, which is a foundation for blockchain building. The mainnet of the KILT Protocol, as mentioned before, was launched as Kusama's parachain. Kusama provides KILT with interoperability with other parachains, an additional security level, and the ability to use Relay Chain to provide digital identities to other parachains.
KILT features an open-source JavaScript Software Development Kit (SDK). Overall, the digital identities created on KILT are comprised of a Digital Identifier (DID) and Verifiable Credentials (VCs). There can be more than one VC attached to DID. VCs are fully controlled by the Claimer as all personal data is stored on them.
The consensus mechanism employed by the KILT Protocol is the Limited Delegated Proof-of-Stake (LDPoS). It’s a variation of the original Proof-of-Stake (PoS). LDPoS network consists of collators and delegators. Collators are the ones who collect transactions and build new blocks. Delegators, on the other hand, are the ones who stake KILT coins to back collators.
Besides, since KILT is Kusama’s parachain, the Kusama validators finalize the blocks of transaction data validated by the collators on the KILT network.
Use Cases of KILT Tokens
The KILT Protocol tokens are the driving force of the whole protocol. The following are their main use cases:
- Means of payment. KILT tokens are used to cover any payments within the KILT network. For example, Claimers have to pay Attesters using KILT tokens for issuing credentials.
- Staking. Users have to stake KILT tokens to become delegators or collators in the LDPoS mechanism. For doing that, they receive staking rewards.
- Governance. KILT token holders can participate in voting while deciding on the KILT Protocol functionality changes and upgrades, as well as the usage of Treasury funds.
Besides, don’t forget that you can see the live KILT price on the KILT Protocol price chart placed above.
Tokenomics of KILT
The max supply of the KILT Protocol coins is 290,560,000. During the Token Generation Event (TGE), 150 million KILT tokens were pre-mined.
The KILT Protocol employs an inflation mechanism with a 5% annual inflation rate. However, it’s planned to drop the inflation rate to 1% within 6 years after the token launch. Though, eventually, it will diminish to 0%.
Thus, if you plan to invest in the KILT Protocol tokens, note that the KILT price is prone to change. For this reason, it would be beneficial to monitor the KILT Protocol price chart above to determine the main changes in the value of KILT tokens.
