One of the most difficult challenges for any Layer-1 blockchain is creating the right set of incentives. Without them, developers may hesitate to build, and users may fail to engage. Kava recognized this early and introduced the Kava Rise Program, a rewards framework designed to grow the ecosystem by directly benefiting the two most critical groups: builders and stakers.
At its core, Kava Rise distributes rewards based on real, measurable contributions. Builders, the teams launching dApps on Kava, earn 63.5% of Rise rewards. Their share is tied to the Total Value Locked (TVL) their applications bring into the ecosystem. The more liquidity and usage a project generates, the greater its reward. This approach ensures that incentives flow to teams delivering tangible value, not just those chasing hype. It also creates a competitive but collaborative environment where developers are motivated to innovate and attract users.
On the other side, stakers receive 37.5% of the rewards. This allocation recognizes the essential role that validators and delegators play in keeping the network secure. By tying rewards to staking, Kava aligns security with ecosystem growth. Validators and delegators don’t just protect the chain—they directly share in its success as more dApps and liquidity flow onto the platform.
The Kava Rise Program has several important effects. First, it reduces waste. Instead of relying on broad, unfocused grants, Rise directs resources precisely where they have the most impact: to applications driving TVL and to stakers maintaining network integrity. Second, it creates sustainability. Because rewards are distributed based on ongoing performance, they encourage long-term commitment from both builders and stakers rather than short-term opportunism.
For developers, Rise makes Kava an especially attractive destination. Competing blockchains may offer grants, but few tie them directly to proven adoption metrics. By rewarding applications that succeed in bringing users and liquidity, Kava ensures developers who bet on the chain can scale their projects while being fairly compensated. For users, this translates into a richer ecosystem of DeFi protocols, DEXs, and yield opportunities.
For stakers, the program adds another layer of incentive to secure the chain. It’s not just about earning staking rewards—it’s about participating in a system where growth directly benefits those who contribute to stability. This strengthens community alignment and reduces the risk of apathy in governance or security.
Ultimately, the Kava Rise Program is more than just a rewards pool—it’s an economic engine. By linking developer success with user adoption and validator participation, it creates a feedback loop where every stakeholder benefits as the ecosystem expands. In the long run, this kind of incentive design may prove to be one of Kava’s most important innovations, showing how Layer-1s can grow without sacrificing sustainability.
