By Menno — 13 years in crypto, 3 bear markets survived, zero paid promotions
Last updated: April 2026
Kaspa (KAS) Risk Score
Kaspa (KAS) has a composite risk score of 11/100, classified as Very Low Risk. This score is derived from 6 active indicators and updates every 6 hours. Proof-of-work cryptocurrency using blockDAG for high block rates and instant confirmation.
Kaspa Risk Score
Very Low Risk
What Does This Score Mean?
A score of 11 means Kaspa is in the Very Low Risk zone. Scores below 40 indicate relatively lower risk conditions, while scores above 60 suggest elevated risk.
This composite is computed from up to 9 indicators including on-chain data, market sentiment, and price action. The individual indicator scores are available to Alpha Factory members.
Scoring Indicators
| Indicator | Weight | Status |
|---|---|---|
| Risk Wave | 23% | Core |
| RSI (2-Week) | 18% | Core |
| ATH Distance | 5% | Core |
| Bitcoin Dominance | 5% | Core |
| Fear & Greed Index | 14% | Core |
| ALT/BTC Ratio | 5% | Core |
| BTC Production Cost | 9% | Core |
| Funding Rate | 5% | Modifier |
| Token Unlocks | 18% | Modifier |
Kaspa Investment Context
Kaspa represents a novel approach to PoW scalability by replacing the traditional blockchain with a directed acyclic graph structure. This allows it to process transactions at much higher throughput than Bitcoin while retaining PoW security properties. Investors drawn to PoW ideals such as decentralization, no pre-mine, and open mining see Kaspa as one of the more technically credible PoW chains launched in recent years.
Key Features:
- Uses the GHOSTDAG protocol, a blockDAG structure that allows parallel blocks to coexist without being orphaned
- Achieves block rates of up to 1 block per second on mainnet, far exceeding traditional PoW chains
- Maintains full Proof-of-Work security guarantees without relying on a central validator set
- Transaction confirmation visibility is near-instant, while probabilistic finality increases over time
Key Risks:
- No smart contract functionality limits its utility compared to programmable blockchains
- Relatively young project with limited real-world adoption and ecosystem tooling
- Competes for PoW miner attention against well-established chains with stronger brand recognition
Layer 1 Category
Layer 1 blockchains are the foundational networks of crypto — they process transactions, secure the network, and host applications.
Strategy: Layer 1 tokens tend to follow Bitcoin's macro cycles but with higher volatility. A disciplined DCA approach with clear exit targets works best.
View all Layer 1 risk scores →Compare with Layer 1 Peers
| # | Coin | Score |
|---|---|---|
| 1 | Flow FLOW | 5 |
| 2 | Cardano ADA | 7 |
| 3 | Sei SEI | 7 |
Frequently Asked Questions
What is the current risk score for Kaspa?
Kaspa (KAS) currently has a composite risk score of 11/100, classified as "Very Low Risk". This score is derived from 6 active indicators including Risk Wave, RSI, and market sentiment data.
How risky is Kaspa compared to other Layer 1 coins?
Layer 1 coins generally carry medium to high risk. Layer 1 blockchains are the foundational networks of crypto — they process transactions, secure the network, and host applications. Among peers, Flow currently shows the lowest risk in this category.
What indicators are used to score Kaspa?
The Kaspa risk score uses up to 9 indicators: Risk Wave (momentum), 2-week RSI (overbought/oversold), ATH Distance, Bitcoin Dominance, Fear & Greed Index, ALT/BTC Ratio, BTC Production Cost, Funding Rate, and Token Unlocks. Each indicator is weighted based on its predictive value for altcoin market conditions.
Should I invest in Kaspa based on this risk score?
Risk scores are for informational purposes only and do not constitute financial advice. Kaspa represents a novel approach to PoW scalability by replacing the traditional blockchain with a directed acyclic graph structure. This allows it to process transactions at much higher throughput t... Always do your own research and consult a financial advisor.