What is Kaia (formerly Klaytn)? Latest News about Kaia Token

In the context of major blockchains seeking to expand their influence in Asia, the merger between Klaytn and Finschia to create Kaia marks a strategic turning point: building a Layer 1 network focused on the general public, businesses, and real-world assets in the digital world. What makes this project special? Let's explore with Allinstation through the article below!

What is Kaia (previously Klaytn)?

Kaia is a new generation blockchain formed from the merger of Klaytn, a blockchain platform developed by Kakao, and Finschia, a blockchain from the Line ecosystem. Kaia's goal is to become the leading Layer 1 network in Asia, promoting Web3 applications, tokenizing real-world assets (RWA), DeFi, and directly integrating with popular Web2 applications.

Kaia is positioned as a blockchain network for the general public, leveraging over 250 million potential users from Kakao and Line across South Korea, Japan, and Southeast Asia.

Transition Process from Klaytn to Kaia

• January 2024: Klaytn Foundation and Finschia Foundation propose merging the two blockchains to form a unified Web3 network in Asia.
• March 2024: Communities of both networks unanimously approve the merger proposal.
• August 28, 2024: Kaia officially launches mainnet, marking the merger between Klaytn and Finschia.
• October 2024: KLAY is automatically converted to KAIA at a 1:1 ratio.
• November 2024: FNSA holders can swap tokens to KAIA through Kaia Portal.
• May 2025: Kaia hosts KSL 2025 event to announce Asia's leading blockchain development strategy.

How Does Kaia Operate?

Kaia uses a modular Layer 1 architecture designed to support:

• High scalability: To serve millions of users from Line & Kakao.
• Transaction fee optimization: Stable, low, and potentially free fees through incentive mechanisms.
• EVM compatibility: Allowing migration and deployment of DApps from Ethereum, making it easy for developers to build or expand projects.
• Web2 & Web3 application integration: Kaia supports SDK, bridge, and decentralized identity (DID) data management tools.

Kaia's Product Ecosystem

Kaia's ecosystem is developing strongly, focusing on bringing accessible Web3 experiences to Asian users through deep integration with popular applications like LINE and KakaoTalk. With support from powerful development tools and a large user community, Kaia promises to be the leading blockchain platform in the region.

Mini Dapps on LINE Messenger

Kaia is deeply integrated with LINE through Mini Dapp Portal, allowing users to access Web3 applications directly from the LINE interface without installing additional apps. As of April 2025, this ecosystem has recorded:

• 64 active Mini Dapps
• 39 million new wallets created
• 75 million accumulated users
• 175 million transactions

Popular Mini Dapps include:

• Love Terminal: Town management game based on AI.
• Elderglade: Fantasy-style RPG game.
• Cosmic Bomber: Action game with Web3 elements.
• Baby Shark Pop: Interactive music game.

Wallet and Asset Management Tools

• Kaia Wallet: Official Kaia wallet, supporting safe storage and management of digital assets.
• Kaia Safe: Multisignature smart contract solution for DAOs and enterprises.
• Kaiascan: Official Kaia blockchain explorer, allowing tracking of transactions, tokens, and smart contracts.

Development Infrastructure and Developer Tools

• Kaia SDK: Software development toolkit helping build and deploy Dapps on the Kaia platform.
• Kaia Wave Program: Developer support program with grants and technical assistance.
• Kaia Builder's Channel: Community channel for developers to exchange and receive support.

Kaia Highlights

• Over 250 million potential users: Through collaboration between Line and Kakao – two major tech giants in Asia.
• Strong practical applications: Web3 integration into social networks, messaging, e-commerce.
• High scalability and speed: Processing speed over 4,000 TPS, block time under 1 second.
• EVM compatible and Cosmos standard: Aiming for strong inter-chain connectivity with other Layer 1 platforms.

Overview of KAIA Token and Tokenomics

Basic Information

• Token Name: Kaia
• Token Code (after merger): KAIA
• Network: Kaia Chain (Layer 1)
• Initial Total Supply: 5,856,641,936 KAIA
• Max Supply: Unlimited
• Circulating Supply: 5,856,641,747 KAIA
• Annual Inflation: Around 5.2% (equivalent to 200 million KAIA/year)

Token Distribution

• Migrated from KLAY circulating supply: 43.2%

Token directly converted from KLAY's existing circulating supply (before merger). KLAY holders received KAIA at a 1:1 ratio.

• Migrated from FNSA circulating supply: 13.4%

Token swapped from Finschia's FNSA supply to KAIA through Kaia Portal.

• Validators & Community: 17.1%

Token portion for validators, stakers, and community contributors to network security and ecosystem development. May include staking rewards, farming, and airdrop.

• Kaia Ecosystem Fund (KEF): 11.6%

Fund supporting Kaia ecosystem development – used to fund DApp, NFT, GameFi, DeFi projects operating on Kaia. Managed by Kaia Foundation.

• Kaia Infrastructure Fund (KIF): 10.8%

Fund investing in technical infrastructure, bridges, development tools, and necessary platforms for Kaia Chain. Supporting blockchain base layer construction.

• LINE NEXT Delegation: 3.8%

Special allocation for LINE NEXT – LINE's subsidiary specializing in Web3 deployment in Japan and South Korea. Supporting NFT service, wallet, and Mini Dapps integration in LINE ecosystem.

Token Utility

• Transaction fee payment on Kaia network
• Staking and network security
• Rewards for validators/nodes
• Used in DeFi, GameFi, RWA, NFT applications
• Central token for Kaia Foundation DAO governance

Kaia 2025 Roadmap

Q1/2025

• Expand Kaia Wave program: support additional Mini Dapps on LINE Messenger.
• Prepare launch of first product in Galactica initiative (RWA).

Q2/2025

• Official launch of DeFi DApps like Dragonswap, Capybara, Avalon through D2I (Dragon DeFi Initiative).
• Integrate additional Mini Dapps related to gaming, healthcare, and AI.

Q3/2025 (expected)

• Collaborate with a major stablecoin issuer to deploy native USD stablecoin on Kaia.
• Network infrastructure upgrade: introduce modular client architecture.

Q4/2025

• Expand RWA ecosystem through Galactica, bringing more traditional assets to blockchain.
• Enhance KAIA token utility in Mini Dapp system and user rewards.

Team & Management Organization

Two merged organizations:

• Klaytn Foundation – Klaytn chain development fund, supported by Kakao Corp.
• Finschia Foundation – LINE's blockchain development unit, behind Bitmax wallet, Japanese NFT services, and multiple DApps.

Operating team:

• Jaesun Han (Ground X) – Klaytn Co-founder Youngsu Ko (Finschia) – LINE blockchain representative
• Jaesun Han (CEO): Former CTO at Cloudware, currently CEO at Ground X.
• Myeongjin Jeong (CFO): Over 18 years of experience in finance and business development.
• Sangeon Bae (Head of Wallet): Former CAD developer at Samsung.
• Sangmin Seo (Head of Platform): Senior engineer at Samsung Research.

Key members from Kakao, LINE Tech, Ground X, with advisors from major financial institutions in South Korea & Japan

Kaia's Investors and Partners

Investors

Kaia (previously Klaytn & Finschia) has raised capital from prominent Web3 investment funds such as:

• Hashed – Top investment fund in South Korea, specializing in Web3 infrastructure.
• Alameda Research – Previously one of the largest funds in the Solana ecosystem.
• Chain Capital – Early investor in Layer 1 platforms and digital assets.
• GS Futures – Venture investment arm of GS Group, South Korea.

Partners

Kaia possesses a wide partner network thanks to platforms from both LINE and Kakao:

• Technology & Media Group: Kakao Corp, LINE Tech Plus, LINE NEXT, LG U+
• Blockchain & DeFi: OpenSea Korea, Chainlink, Polygon Labs
• Game & Metaverse: WEMADE, Naver Z (Zepeto)

Summary

Kaia is a Layer 1 blockchain formed from the strategic merger between Klaytn (South Korea) and Finschia (Japan) - two leading Asian blockchain platforms belonging to Kakao and LINE groups. With the vision of becoming the most user-friendly and accessible Web3 infrastructure for hundreds of millions of ordinary users, Kaia focuses on areas such as DeFi, real-world assets (RWA), Mini Dapps on LINE Messenger, and Web2 & Web3 integration.

This platform possesses many advantages such as fast processing speed, low fees, good scalability, EVM support, and a robust development toolkit. The KAIA Token is the center of the entire ecosystem, serving transactions, staking, governance, and user rewards.

Kaia's 2025 development roadmap shows strong investment in the DeFi ecosystem (D2I), real-world assets (Galactica), expanding Mini Dapps, and upgrading infrastructure. With support from large technology groups like Kakao and LINE, it is expected to become a blockchain accessible to tens of millions of Asian users.

Note: This article is for informational purposes only and is not investment advice. Always conduct thorough research before making decisions.