Kaia Ecosystem Evolution: On-Chain Rise Paradigm Centered on Mini Dapp

1. Overview of Kaia Blockchain Ecosystem

1.1 Background and Team

Kaia is the new ecosystem formed by the merger of two major blockchain projects Klaytn and Finschia, led by Kakao and LINE. Klaytn was launched in June 2019 by Ground X, a blockchain subsidiary of the Kakao Group, with early governance alliances including well-known South Korean companies such as LG Electronics, Celltrion, and Netmarble. LINE initially launched the LINK chain through its subsidiary LINE TECH PLUS in August 2018, which was renamed Finschia in 2022. In April 2023, LINE established the Finschia Foundation in Abu Dhabi to operate the mainnet and the native asset LINK. In January 2024, the two chains proposed a merger, which will officially launch the Kaia mainnet by the end of August 2024, managed by the newly established Kaia DLT Foundation.

Kaia aims to become an L1 public chain focused on large-scale applications, featuring high TPS and developer-friendly characteristics. Its core advantages lie in a mature SDK system and deep integration with social platforms, supporting applications to run directly on mainstream social platforms. As a public chain based on BFT consensus, Kaia is dedicated to achieving enterprise-level reliability and performance, providing underlying support for the next generation of Web3 applications.

1.2 Important Development History

• June 2019: Ground X launched the Klaytn mainnet
• December 2022: LINE launched the Finschia mainnet
• April 2023: LINE established the Finschia Foundation
• August 2024: Kaia mainnet officially launched
• April 2025: Kaia Foundation receives investment from institutions like 1kx.
• May 2025: Tether issues USDT on-chain on the Kaia chain.

1.3 Main Features

Kaia adopts a layered node architecture, including core units, consensus nodes, proxy nodes, and endpoint nodes. Using improved Byzantine Fault Tolerance consensus, it achieves a 1-second block time and instant finality, with a theoretical peak of about 4000 TPS. Communication costs are controlled by randomly electing committee members through VRF. The service chain provides a dedicated execution environment, supporting cross-chain transfers and multi-signatures.

Kaia is EVM-compatible and supports Ethereum smart contracts. It integrates with various cross-chain bridges to achieve asset interoperability. It closely connects with the LINE ecosystem, allowing developers to deploy Dapps directly within the chat application. In May 2025, Tether issued native USDT on the Kaia chain, providing users with stablecoin services.

Kaia adopts a sustainable token economic model, with the native token KAIA used for paying transaction fees and incentivizing the network. New tokens are distributed at a fixed ratio, supporting on-chain governance to adjust the inflation rate and fee model.

2. Progress of Ecological Construction

2.1 Kaia Wave Plan and Mini Dapp Ecosystem

The Kaia mainnet will launch in August 2024, simultaneously releasing the Kaia Wave program. Through LINE NEXT's NEXT WEB SDK, developers can build Mini Dapps for LINE users. The first batch of projects will go live in Q1 2025, covering multiple tracks.

Kaia has launched the Mini Dapp Growth Competition in collaboration with the LINE Dapp Portal, focusing on the rise of MAU and on-chain token holders. The Dapp Portal serves as a Dapp directory and entry point, allowing users to discover and use various Dapps within the LINE environment.

2.2 Kaia Stablecoin Plan

In May 2025, Kaia partnered with Tether to issue USDT natively on-chain. This native USDT is fully deployed in contract form and issued directly by Tether, ensuring a 1:1 dollar reserve. The first batch of USDT has been integrated into the LINE Mini Dapp ecosystem for everyday use.

Multiple exchanges support the USDT-KAIA network, providing users with diversified asset channels. Kaia also plans to launch a Korean won stablecoin and develop more on-chain financial products and services.

2.3 Ecological Investment Progress

In April 2025, the Kaia Foundation received investments led by 1kx and Blockchain Capital, with participants including Galaxy Digital, IDG Capital, and others. These institutions will provide support in market development, compliance framework, ecological cooperation, and other areas to assist in Kaia's globalization.

2.4 Ecological Strategic Cooperation

Kaia continues to expand strategic cooperation:

• Integrated with Dune, providing on-chain data visualization
• Collaborating with Fireblocks to provide secure asset custody for ecosystem partners
• Establish cooperation with KuCoin to support the listing and promotion of Mini Dapp
• Partnering with Republic to provide advisory support for developers
• Collaborate with MEXC to launch trading pairs and futures contracts
• Collaborate with Travala to integrate travel payment scenarios
• Integrate with Team Finance to provide token management tools

2.5 Developer Support and Community Building

Kaia supports developers and the community in various ways:

• Conduct educational training in Singapore
• Launch content creation reward program
• Release DEX Scanner tool
• Open Developer Training Camp
• Launch the Kaia Agent Kit development suite

3. Excellent Project Cases of the Kaia Ecosystem

3.1 Excellent projects that have completed TGE

1. Elderglade: A Web3 gaming ecosystem with over 11 million global users and a monthly revenue exceeding 2 million USD.

2. Bombie: A zombie shooting game based on LINE, with over 11 million registered users and an ARPPU of $110.79.

3. Frog Defense: Bringing TikTok IP into Web3 games, launching tower defense game on LINE platform.

4. Lair: A liquidity staking product based on Kaia KIP-163.

3.2 Other promising leading projects

1. SavannaSurvival: A game that integrates automatic combat, educational entertainment, and management simulation.

2. Boxing Star X: Web3 boxing game, providing an immersive experience.

3. DarkStar: A cross-platform space game that integrates Web2 and Web3 elements.

4. Captain Tsubasa: A casual football game based on the classic manga.

5. Slime Miner: Web3 idle role-playing game.

6. Fate War: Kaia's first "play-to-earn" RPG game.

7. Kyuzo's Friends: A social game centered around the DNAxCAT IP.

These projects showcase the competitiveness of the Kaia ecosystem in core sectors such as gaming, laying the foundation for the popularization of Web3 applications. As more innovative projects emerge and infrastructure improves, Kaia is expected to further consolidate its leading position in the Web3 space.