Despite a massive cryptocurrency sell-off removing $500 billion from that market overnight, Kusama network’s native cryptocurrency KSM rose to an all-time high.
What Happened: KSM briefly dipped to a low of $438 in the immediate aftermath of the market dip, but quickly resumed its upward trend, rising 33% to a high of $587.24 earlier Thursday. The coin’s 24-hour trading volume was up by more than 360% to over $1.4 billion, at the time of writing.
Why It Matters: The Kusama network was launched by the same team behind Polkadot (DOT), with the aim of providing developers with an experimental blockchain platform to test their projects before migrating to Polkadot.
Kusama’s codebase is almost identical to Polkadot’s, but its “experimental nature” has led to the project being named “Polkadot’s wild cousin.”
The resilience in KSM’s price today was likely caused by the project announcing a major upgrade to add parachain auctions and crowd loan functionalities to Kusama.
“A key difference between parachain slot auctions and traditional ICOs is that those who contribute DOT or KSM to an auction and receive the project’s tokens via an airdrop may do so without transferring control of their KSM or DOT contributions to the bidding project team or any third party. In an ICO, users’ funds are sent to the project team who use them at their discretion,” explained Kraken in a blog post.
KSM Price Action: At publication Thursday, KSM was trading at $572.67. Year-to-date, KSM has returned 650% and over a one-year time period, the token surged over 6,600%