One of the blockchain projects that carry the internet of blockchain is the Cosmos Atom cryptocurrency. This uses IBC (Inter-Blockchain Communication) protocol.
Scalability and interoperability issues are serious problems in blockchain and Ethereum technology. Cosmos coming to try to be a solution to this problem.
The weaknesses of bitcoin and Ethereum can compete with more common systems such as Visa and PayPal, they need to seriously increase transaction times.
PayPal able to make 193 transactions per second, meanwhile visa manages 1667 transactions per second. Ethereum only makes 20 transactions per second while bitcoin manages 7 transactions per second!
The only way these numbers can be improved is if they work on their scalability. This is one of the goals of Cosmos Atom to become the internet of blockchain.
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- 1 Cosmos ATOM cryptocurrency explained
- 2 How does Cosmos ATOM work
- 3 When was Cosmos ATOM created?
- 4 Cosmos ATOM ecosystem
- 5 Cosmos ATOM Cryptocurrency wallet
- 6 Cosmos network staking
- 7 Cosmos ATOM price prediction
- 8 Is Cosmos ATOM a good investment?
- 9 Final Thought
Cosmos ATOM cryptocurrency explained
Cosmos (ATOM) is a blockchain-based on consensus protocol, Tendermint.
Blockchain Cosmos aims to be an “internet blockchain” that will solve interoperability and scalability problems forever. The Cosmos architecture consists of several independent blockchains called “Zones” which are attached to a central blockchain called “Hubs”.
According to its whitepaper, the Zone is powered by Tendermint Core, which provides a high-performance, consistent, secure PBFT-like consensus engine, where a strict guarantee of liability fork applies to the behavior of bad actors. Tendermint Core’s BFT consensus algorithm is perfect for scaling public proof-of-stake blockchains. ”
What is Cosmos ATOM coin?
Cosmos blockchain has a native token called Atom, that’s why many people call Cosmos Atom because the Atom token is identical to Cosmos.
Should to know that Atom is not designed to be a means of exchange or store of value. But entirely for staking on the Cosmos blockchain.
The atoms available in the crowd sale will not immediately become liquid. Once created, they will gain a constant hourly speed for two years.
If the crowd sale raises $ 5 million and creates about 625,000 Atoms, they will get a value at a rate of 35.6 Atoms per hour.
Cosmos Atom fundraising
Cosmos had their fundraiser on 6th April 2017 and raised 4.87k BTC / 246.89k ETH and a total of 168,475,963 published ATOMs. During the fundraising, ATOM was distributed like:
- ICF (10%).
- AIB (10%).
- Initial Donors (5%).
- Pre-Fundraising Donors + Fundraising Donors (75%).
Since zones can have their own native tokens, hub validators can accept any token or token combination they want as their transaction fee.
The exchange rates will also be up to the validator to set as they match as long as the block gas limit is not exceeded.
Of the fees collected, 2% goes to the reserve pool, while the remainder is distributed among validators in proportion to their holdings.
How does Cosmos ATOM work
The Cosmos network has a way of working to unify all blockchains by relying on Temdermint and Inter Blockchain Communication (IBC). Both technologies will be the initial adoptions to improve Cosmos governance which is more effective and efficient. One of the advantages that Cosmos can exchange tokens between one person and another.
Tendermint is the initial foundation for building blockchain technology. It should be noted that blockchain is made up of three conceptual layers namely network, consensus, and application layer.
In this case, Tendermint plays a role in packaging the network and consensus layers. In other words, Tendermint is an open-source development tool that is a basic foundation that can be adapted to the needs of blockchain-based applications. Cosmos also uses the SDK – Enables developers to build applications on top of the Tendermint-based blockchain.
Inter-blockchain communication (IBC)
As the name implies, IBC (Inter-Blockchain Communication) is an inter-block communication protocol. In its development, the existing devices at the IBC function to connect zones and hubs that will allow the exchange of tokens between chains.
The advantage of using IBC is that it can exchange tokens between chains even under pressure. Thus, Tokens from one chain can be transacted on another chain. It is a technology that allows chains to connect with one another.
Cosmos ATOM block explorer
Block explorer can be useful to find out transactions that occur on Cosmos. Some of the sites where the Cosmos block explorer searches include:
Atom Block explorer is useful for tracking transactions from the Cosmos wallet address to the address of other recipients. In addition, the information displayed is open to the public such as the number of Atoms transferred. There are also proposers, validators, transaction fees, voting power, and so on.
When was Cosmos ATOM created?
The Cosmos blockchain was created by Jae Kwon in 2014. To develop a complete interoperable Cosmos ecosystem, Jae Kwon collaborated with Zarko Milosevic and Ethan Buchman.
However, he later stepped down from the project in 2020. Even though Cosmos was built in 2014, Cosmos officially launched the internet of blockchain in November 2019. At the time of the 2017 ICO, Cosmos managed to raise $ 17 million in 29 minutes.
Who is Cosmos ATOM founder
Jae Kwon is a blockchain programmer who became a hot topic for allegedly leaving Cosmos to work on another project called Virgo. He is actually the founder of the blockchain Cosmos, which later teamed up with co-founders Zarko Milosevic and Ethan Buchman to found Tendermint as a 2014 blockchain startup.
Even though he allegedly left Cosmos but through his tweet, he said not to leave Cosmos, but the blockchain will run with or without him.
Cosmos ATOM Cryptocurrency team
Many team members join the Cosmos ecosystem, with a total of more than 30 team members. But the biggest contribution is from the Swiss non-profit foundation The Interchain Foundation (ICF).
Another contributor is IRIS Foundation Ltd. which helps ICF to build a useful IRISnet to facilitate the distribution of business applications, it’s called Cosmos hub.
Cosmos ATOM ecosystem
In the early days of blockchain building like Bitcoin, it only had its own environment, meaning it couldn’t be connected to the Ethereum blockchain. So that Bitcoin transactions may only be implemented on the Bitcoin blockchain.
The Cosmos ecosystem is built to become the internet of blockchain, which can connect or be interoperable with other blockchains. This allows data exchange as well as transactions on two or more different blockchains.
Maybe the simple analogy is like a browser that can open multiple sites with different page formats. Three important components in the Cosmos ecosystem are Tendermint, IBC, and SDK cosmos as mentioned above.
Cosmos network projects
If you compare it to a project on the Ethereum blockchain, maybe Cosmos is younger, it is still not as big as a project on the Ethereum network.
However, Cosmos currently has listed 246 projects using their blockchain network. Some of them are Affondra, Agoric, Akash network, Aleph.Im, Althea, AMO, Anatha, Anchor protocol, and many more which consist of various application categories. You can follow an updated list of the project in the App and services ecosystem Cosmos.
Of all the projects built on the Cosmos network according to medium.com, there are five projects that are considered the top Cosmos blockchain projects. The five projects are IRISHnet, Sentinel, Agreements network, FOAM, and TruStory.
Cosmos network roadmap
The Cosmos roadmap 2021 is scheduled to be divided into four quarters, which are at Q1 Stargate and Gravity Dex, Q2 Gravity bridge, Q3 Staking derivatives, and Q4 Bitcoin Bridge and shared security. This information is taken in the Reddit forum which discusses Cosmos.
A little history of the discovery of Cosmos began in 2014 Jae Kwon found Tendermint inc. Tendermint itself applies the BFT algorithm consensus or what is known as Byzantine Fault Tolerance with Proof of Stake.
In 2015 Ethan Buchman joined and forced Jae Kwon to develop Tendermint after a meeting at the Cryptocurrency Research Group and Crypto-economics Conference.
2016 published the whitepaper Cosmos: A Network of Distributed Ledgers, In the same year Cosmos was awarded the Most Innovative Project.
2017 in just 30 minutes ICF successfully raised $ 16.8M in fundraising. It was also this year that Cosmos began designing the Cosmos SDK.
2018 Cosmos launched the Game of Stakes, Cosmos has become a pioneer of Inter-Blockchain Communication.
2019 Binance builds Binance Coin which is built on the Tendermint BFT network and Cosmos SDK. And Cosmos hub was successfully launched on March 13th, 2019.
Cosmos ATOM Cryptocurrency wallet
Regarding the Cosmos wallet, users have many options, of which there are officially 32 wallets that the user can choose from.
Each wallet has its own features, so it might be a bit confusing for you to choose which Cosmos wallet to use. But of course, you don’t have to have the entire wallet in hand. Just choose a wallet that you trust. For example, Kepir, which functions as a web browser extension so you can easily access your wallet whenever you like.
Or maybe you like Atomic wallet, a cryptocurrency wallet that supports more than 200 cryptocurrencies, so you are free to choose which one you prefer.
With the support of more than 200 cryptocurrencies that can be stored in one wallet, users can manage many crypto assets, not only Cosmos. Choose the Cosmos wallet here.
Cosmos network staking
Maybe many already know about staking, which is a process in the blockchain to secure the network and will get an ATOM reward, because Cosmos uses proof of stake consensus.
To participate in Cosmos staking requires the ATOM to be locked, in order to secure the economy in the network. To earn a reward, participants must choose one or more validators on the Cosmos hub. However, staking on the Cosmos network is not risk-free.
It explains that the delegated ATOM may be forfeited if the validator experiences downtime or poor performance. Therefore it is advisable to choose a trusted validator, and not only choose one validator to reduce the risk.
Cosmos ATOM price prediction
The Cosmos ATOM price movement this month is indeed down. This isn’t even just Cosmos but Bitcoin and cryptocurrencies in general. Then what are the prospects for Cosmos ATOM in the future?
The price at the time of writing the ATOM token fell to $ 12.84, this decline is a continuation of the last few days as a result of China’s policy banning the use of Cryptocurrency in its country.
The following are some of the Cosmos ATOM price predictions from several forecasting sites:’
- Wallet investors still believe that the price of ATOM in the next year will rise to $ 39,289, and for the next five years, it will rise to $ 148,512.
- Longforecast predicts the price of ATOM to reach the price level of $ 21.81 by the end of 2021, the 2022 prediction of the price of ATOM to close at $ 23.19, 2023 to reach $ 28.01, 2024 they predict a drop to $ 25.53, and the forecast for 2025 to reach $ 47.01.
- Digitalcoinprice predicts the price of ATOM to increase significantly gradually. They predict 2021 to reach $ 19.42, 2022 to reach $ 23.15, 2023 to reach $ 28.34, 2024 to reach $ 31.75, 2025 to reach $ 40.05, 2026 to reach $ 45.34, 2027 to reach $ 52.19, and 2028 to reach $ 57.43.
- Trading Best predicts that ATOM price at the end of 2021 can reach a high of $ 18,347, 2022 year-end maximum price of $ 22,445, 2023 reach a maximum price of $ 26,805, and predict 2024 to reach a maximum price of $ 30,915.
Is Cosmos ATOM a good investment?
Functionally, the Cosmos blockchain with its motto as the internet of blockchain, which is interoperable, allows data communication between blockchains, this is a unique thing in itself.
But Cosmos is not the only one that carries the blockchain internet, Polygon also carries the blockchain internet for Ethereum. However, considering the development of projects in the Cosmos network, this indicates that this network is growing rapidly.
The challenge today is government regulation related to cryptocurrency in several countries such as China and America. Even Carlyle Group founder David Rubenstein made a statement about banning cryptocurrencies as they are assets that investors want.
Perhaps the cryptocurrency ban has an impact in the short term, but in the long term, how will the market desire cryptocurrency. Even the ban would probably be meaningless if investors and market demand wanted it.
Cryptocurrency assets are risky assets, even investors are aware of that. But they also like volatility, because it can make a profit.
Even with a growing market capitalization, maybe crypto will possibly become a source of tax for the government. Therefore the prohibition of cryptocurrency may not apply in all countries. But maybe the government just wants to regulate the use of cryptocurrency and get taxes from it.
This article is for information only and does not constitute investment advice. All investment consequences are the responsibility of each investor.
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