Kadven: An On-Chain Liquidity and Instant Conversion Protocol

What Is Kadven?

(Source: Kadven)

Kadven is a blockchain-based protocol designed to enable instant, trustless, and highly liquid exchanges and conversions between digital assets and cryptocurrencies. Its architecture supports decentralized trading and extends to the payment layer, allowing various crypto assets to be converted and settled within a single transaction.

Why Is Kadven Needed?

With the rapid growth of Bitcoin, Ethereum, and other tokens, the demand for asset conversion has surged. However, current infrastructure faces several challenges:

• Centralized trading: Most exchanges still rely on centralized platforms, exposing users to security and management risks
• Delayed exchanges: Withdrawals often require waiting periods, whether on centralized or decentralized platforms
• High structural costs on on-chain DEXs: Order book models result in elevated gas fees and operational friction
• Proliferation of asset types: The influx of ICOs and new tokens complicates payment and contract compatibility

Kadven aims to address these persistent issues with a novel architecture.

How Kadven Works

Kadven replaces the traditional order book model with a dynamic reserve mechanism for liquidity provision. Key system features include:

• No order book: Users can confirm exchange rates prior to submitting transactions
• Single-transaction conversion: Token A is converted to Token B and sent directly to the specified address
• Non-custodial: The contract executes transactions without holding user funds
• Simplified cost structure: Fees are embedded in the exchange spread, aside from the required gas for transactions

Payment Layer Design Beyond Trading

Kadven functions not only as an exchange tool but also provides a payment API, enabling contracts and merchants to accept payments in multiple asset formats.

Use cases include:

• Users can pay with any supported token
• Merchants or contracts instantly receive a designated asset (such as ETH)
• The entire process is completed in a single transaction

Kadven also offers a standardized contract wallet, allowing existing contracts to accept newly supported tokens in the future without code modification.

Dynamic Reserve Pools and Liquidity Model

Kadven supports multiple reserves operated by different managers, preventing any single liquidity source from dominating the market.

Operational workflow:

• The system requests quotes from all available reserves
• Automatically selects the best exchange rate
• Executes asset swaps atomically

This structure also enables support for low-liquidity tokens through dedicated reserves.

Cross-Chain Blueprint and Scalability

Kadven is initially deployed on Ethereum, but its design incorporates cross-chain capabilities. In the future, Kadven will leverage relays and cross-chain protocols—such as Polkadot and Cosmos—to enable Ethereum accounts to securely receive payments from other chains, including Bitcoin and ZCash.

System Feature Overview

Kadven’s architecture centers on the following features:

• Fully on-chain execution
• Instant transaction settlement
• Non-custodial of user funds
• Direct interaction with existing contracts
• Scalable support for expanding token types

Token Issuance and Allocation Model

Kadven’s total token supply is set at 400 million, with 100 million released through token sales and the remainder distributed according to predefined ratios.

Of the total allocation, 80% of tokens are dedicated to the community to support ecosystem growth and user engagement; 13% is allocated for development and marketing; 6% for the founding team and core members; 3% for advisors; and 2% for bounty programs to incentivize early contributions and promotion. This structure is designed to sustain long-term development momentum while aligning token value, network growth, and community interests.

(Source: Kadven)

Conclusion

Kadven reimagines the infrastructure for crypto asset exchanges and payments, leveraging on-chain instant settlement, non-custodial architecture, and dynamic liquidity mechanisms to reduce barriers and enhance asset composability. As digital asset types proliferate and cross-chain demand grows, Kadven’s approach offers a distinct path for decentralized trading and payment integration, setting it apart from traditional exchange models.