Kusama
KSM
Evaluation Score
Overall rating on a scale of 0-10
Crypto Token Health Score Explained
Our AI-powered health score evaluates on-chain metrics, community support, tokenomics, and more. This helps DeFi investors understand risk, compare tokens, and make informed decisions. Learn how to analyze DeFi tokens' risk and use these insights for DeFi portfolio risk management.
AI Analysis
Comprehensive evaluation of the token
Kusama (KSM) stands out as a high-innovation "canary network" for Polkadot, driven by a world-class team including Gavin Wood and Parity Technologies. Its primary strength is its unique and critical use case for rapid, real-world testing of new features before they are deployed to Polkadot, supported by sophisticated on-chain governance. The token has clear utility in staking, governance, and parachain auctions. However, its experimental nature introduces inherent technical risk, and its most significant challenge is the tokenomic model, which features a 10% annual inflation rate with no maximum supply, creating a notable headwind for value accrual.
Detailed Analysis by Category
Development Activity
Code updates and developer engagement
Community Support
Social media presence and community engagement
Tokenomics
Supply, distribution, and utility
Market & Use Case
Value proposition and competitive landscape
Team & Governance
Team background and project governance
Security & Audits
Security history and audit status
About Kusama (KSM)
Kusama (KSM)
Kusama is an experimental, scalable, multi-chain network built with Substrate and maintained by Parity Technologies and the Web3 Foundation. Often referred to as the “canary network” for Polkadot, Kusama provides a fast-moving environment for developers to deploy and test new features in a real economic setting.
Key Features
- Symbol: KSM
- Network Type: Relay chain with parachain support
- Consensus Mechanism: Nominated Proof-of-Stake (NPoS)
- Governance: On-chain referenda, council elections, and treasury proposals
- Use Cases:
- Staking and nominating validators
- Participating in governance votes
- Securing and bonding parachain slots via slot auctions
- Cross-chain message passing (XCMP)
Why Kusama?
- Rapid Innovation: Enables faster upgrades and governance decisions compared to production networks.
- Interoperability: Supports seamless communication between parachains and external networks.
- Real-World Testing: Acts as a proving ground for new protocols destined for Polkadot.
Launch & Supply
- Launch Date: August 2019
- Maximum Supply: 10 000 000 KSM (inflationary issuance to support staking rewards)
Kusama’s native token, KSM, powers network security, governance, and parachain operations, making it a central element in the Polkadot ecosystem’s experimental phase.
Similar Rated Tokens
More for DeFi Investors
- Yield Farming Analysis: Discover the best tools and strategies for maximizing your returns from yield farming in DeFi.
- AI vs Fundamentals: See how Token Vitals combines AI crypto price prediction with fundamental analysis for a balanced investment perspective.
- Risk Scores Explained: Learn how our crypto risk scores differ from traditional credit scores and what that means for your portfolio.
- On-Chain Metrics: Understand which on-chain metrics matter most when investing in tokens and how to use them effectively.
- US Investor Analytics: Access crypto analytics designed for US investors, including features to help with tax tracking and compliance.
- Finding Value: Explore our data-driven lists to uncover top undervalued DeFi tokens for 2025 and beyond.