What Is Kaiko? The “Decentralized Data Engine” of the Crypto Market

In the encrypted world where information equals power, Kaiko has built a decentralized data network covering over 150 exchanges and more than 100,000 trading pairs, opening the door to market transparency for institutions.

In the highly volatile and information-rich Crypto Assets market, timely access to accurate and comprehensive market data is the cornerstone for institutional investors, trading platforms, and researchers to make decisions. Kaiko is a pioneer and leader in this field. Founded in 2014, this pioneering company is committed to providing innovative Decentralization architecture for Web3 and the Crypto Assets industry provides reliable, transparent, and accessible market data infrastructure, becoming a key force driving market maturity.

What is Kaiko? The “master of Crypto Assets data”

Kaiko’s core positioning is as an institutional-grade Crypto Assets market data provider. Unlike many traditional centralized data providers, Kaiko has been focused on addressing the unique challenges of the crypto market since its inception: data fragmentation, varying trustworthiness of sources, and insufficient transparency. Its mission is to provide standardized, high-fidelity market data streams for global financial institutions, DeFi protocols, Web3 enterprises, and research organizations, covering a comprehensive range of information from real-time quotes and historical prices to deep order books, trading volumes, derivatives data, and complex indicators such as volatility indices.

After years of development, Kaiko has established its market position:

• Extensive coverage: Data sources cover over 150 mainstream Crypto Assets exchanges worldwide, monitoring the activities of more than 100,000 trading pairs.
• Diverse clientele: Serves top financial institutions and platforms such as Messari and Paxos.
• Capital recognition: Completed a $24 million Series A funding round in 2021 (led by Anthemis and Underscore), and completed a $53 million Series B funding round in June 2022 (led by Eight Roads, with follow-on investments from Revaia, Alven, and others).

Core Innovation: Building the foundation of Decentralization data

Kaiko’s fundamental breakthrough lies in its concept of a decentralized data infrastructure. This directly addresses the pain points of traditional centralized data providers: single point of failure risk, potential data manipulation or tampering, and centralized control of access permissions.

Kaiko’s solution is to build a network based on blockchain technology and distributed ledger systems:

• Node Network: Data collection, processing, and distribution are carried out by a network of nodes operated by diverse stakeholders (not a single entity) distributed globally.
• Consensus and Verification: Use consensus algorithms to ensure the consistency and accuracy of data collected from different exchanges.
• Incentives and Reputation: Design mechanisms to incentivize data contributors and continuously track data quality through a reputation system.
• Transparency and Auditability: The immutability and traceability of the blockchain provide transparency in data processing.

This architecture not only enhances the resilience of data but also promotes the democratization of key market information—allowing more participants to access high-quality data in a fair manner.

Data Landscape: Comprehensive Coverage and In-Depth Insights

Kaiko’s data products and service system meet the precise needs of users at different levels:

• Real-time market data stream: millisecond-level delayed real-time trading quotes, supporting high-frequency trading firms and market makers
• Historical data repository: stores complete, cleaned historical price data for quantitative analysts to conduct backtesting and modeling
• Depth order book data: provides a deep market liquidity view, accurately capturing the “Alameda Gap” after the FTX collapse
• Index and pricing data: provides manipulation-resistant reference prices for asset pricing and fund net value calculations
• DeFi data: extends to on-chain DEX, lending protocols, and other DeFi areas
• Powerful API: its Advanced API v2 increases data processing speed by 30% and reduces latency by 25%

Value Proposition: Key Applications Driving Industry Development

Kaiko’s data penetrates multiple core areas of the Crypto Assets industry:

• Institutional Trading and Investment: Providing real-time data foundation for hedge funds and asset management companies
• Risk Management and Compliance: Assisting financial institutions in calculating risk indicators (such as VaR) to meet regulatory requirements like MiFID II
• Exchanges and Fintech Platforms: Providing market benchmarks and internal monitoring for CEX
• Research and Analysis: In-depth reports released by the Kaiko Research team (such as the series “Defining the Crypto Space in 202X with 10 Charts”) have become industry benchmarks, analyzing key events such as Bitcoin surpassing $107,000 in 2024 and BlackRock’s spot BTC ETF exceeding Grayscale
• Regulation and Policy Making: Providing objective market views for regulatory agencies

Summary: The Cornerstone of the Era of Data Transparency

In the process of moving from the margins to the mainstream in the Web3 and Crypto Assets industry, reliable data infrastructure is as indispensable as water and electricity. Kaiko, with its decentralized innovative architecture, unparalleled data coverage in terms of breadth and depth, and institutional-focused professional services, has established its position as a standard setter in the field of Crypto Assets market data.

As more traditional financial institutions enter the Crypto Assets space and with the implementation of global regulatory frameworks such as the EU’s MiCA, the demand for high-quality data will grow exponentially. The “Decentralization data cornerstone” built by Kaiko is paving the way for a more mature and institutionalized Crypto Assets future.