Pro
Analyst Note: Cosmos Hub V2 Proposal
Key Insights
- The proposed update to the ATOM monetary policy will issue ATOM in order to remove inflation and prevent a tradeoff between security and liquidity for stakers.
- Interchain Security captures value from the Cosmos ecosystem for ATOM, which will become the interchain reserve asset of the Cosmos Network enabled by Liquid Staking.
- The Interchain Scheduler moves the interchain MEV marketplace on-chain so that consumer chains can specify allowable MEV as an improvement on the current revenue split models.
- The new proposal allows Cosmos Hub to share validators with other consumer chains in order to prevent the bottleneck that would arise from having to bootstrap one’s own validator set.
The Cosmos Hub V2 whitepaper proposes a construction for the Cosmos Hub to issue ATOM as a non-inflationary asset. It will also implement modules focused on interchain development and security for the broader Cosmos Network.
Cosmos V1: In a Nutshell
Let us know what you loved about the report, what may be missing, or share any other feedback by filling out this short form. All responses are subject to our Privacy Policy and Terms of Service.
Eshita is a Research Analyst at Messari focused on Web3 topics. Previously, she was a Venture Fellow at Bloomberg Beta and prior to that was working on data at Shareworks by Morgan Stanley.
Mentioned Assets