Why ATOM forking 1ATOM is ngmi in my opinion
Interview with cosmo educator Lethang + my 2 cent from it
Forking Cosmos is totally different than forking ETH
Great chat with @LeThang137 from @Cryptocito biggest youtuber on cosmo
Exploring
History of ATOM & @jaekwon
848 proposal
Why forking ATOM is different
Impact to atom
My 2 cent why ATOM1 is ❌ for cosmo eco
Content preview
Jae kwon, ATOM1, 848 proposal background
Lethang thoughts on it
Why 🐏 think ATOM1 is NOT going positive to cosmo ecosystem
I hope I have provide you joy, alpha and value throughout my 182 post since Jan2023.
For my loyal readers & community, I apprecate all the dms & support msg throughout my ups & downs this year!
I will keep this substack free, but if you ever want to support me feel free to join my subscription
📍 @LeThang137 Quick self intro
Thang is currently doing content research for @Cryptocito
The biggest youtuber in Cosmos
📍 Quick TLDR on history of ATOM governance dispute
@LeThang137 :
Jae Kwon took 2-year break from the company while other devs shipped Cosmos Hub mainnet and then came back to the company as the CEO of Tendermint.
In 2020, most Cosmos core devs left Tendermint due to the conflict with Jae Kwon. After that, Jae Kwon stepped down as CEO of Tendermint Inc. to focus on GNO Land.
📍 Who is Jae Kwon ?
@LeThang137 :
Jae Kwon pioneered the Tendermint Proof-of-Stake consensus in 2014 and then teamed up with Ethan Buchman to co-found Cosmos in 2016.
📍What was the the 848 proposal & the impact of it to the atom ecosystem
@LeThang137 :
Cosmos Hub prop #848 reduced the cap of the Hub maximum inflation from 20% to 10%
making ATOM inflation changed from 14% to 10%
It also helps grow DeFi in Cosmos & makes ATOM more attractive
📍 What is ATOM1 ?
@LeThang137 :
Jae Kwon's point is that high inflation is a punish for anyone who is not staking their ATOM.
Therefore cutting inflation would destroy this purpose of proof-of-stake.
His argument is that ATOM was never meant as money, and viewing the staking token for its financial prospects risks compromising the Cosmos Hub’s security.
ATOM1 is a fork of Cosmos Hub with the initial inflation rate setting and minimal applications (meaning no smart contract on ATOM1) to minimize attacking surface.
More details about ATOM1 here
📍As myself and most EVM guys, forking a chain means all applications on the chain needs to be forks as well or new one.
But as forking ATOM1 as a hub works differently?
It can still be connected with other zones such as osmosis etc ?
Can you share a bit more?
@LeThang137 :
In Cosmos ecosystem, each application has their own chain & they are connected with each other through a communication protocol (trustless bridge) called IBC.
If you fork a Cosmos chain, you just need to set up the IBC connection to other chains to use their apps.
I think this is a good thing because we will have more Hubs with different specs in Cosmos
📍How will the fork of atom1 impact the cosmo ecosystem? in both positive n negative if possible
There are two side of the Hub stakeholders.
One side wants a minimal Hub with no experimenting technology or big changes.
@LeThang137 :
One side wants to adapt and experiment with new tech (such as liquid staking, and smart contracts on Hub) as much as possible in order to make the Hub more competitive with other L1 chains.
So instead of arguing online day and night, this fork will let both sides pursue their own vision, and we will see who is the right one in the future.
📍My 2 cent as a EVM guy + sum understanding of cosmo
Quick background i was involve with cosmo from 2020-21 ish
got lucky to experience @osmosiszone building defi on cosmo on top of the continous airdrop of different cosmos projects is/was a great believer of application chain
The in it for the tech guy inside me still appreciate application chain thesis
@dYdX ( Perp )
@akashnet_ ( Cloud service )
@SentinelVPN ( VPN )
The idea of IBC enabling every chain connecting without fear of bridges & each chain can be setup optimal for their application
However as the ROI driven side of me
We are not a stage where very little application is profitable,
Cosmo POS setup made DeFI extremely diffcult to boost strap
( any "real yield" from trading or lending yield needs to be above single staking apy in order to attract users )
How much value does ATOM as a HUB actually covers?
Too many arguments within the cosmo ecosystem
IBC tech is cool, but is there anything i can invest to capture the infra level?
In my opinion i don't think ATOM1 will create a lot of positive attention to cosmo ecosystem ( although i would love to, i still have a bag )
Why?
Confusion, Lack of reason changing the fundamental problem of cosmo tokens
For new crypto users ATOM n ATOM1 will be very confusing
ATOM1 will not change the fact that ATOM still doesnt capture ecosystem value ( maybe it doesnt have to if u see it as public good )
More arguements will just further thinner liquidity within the cosmo ecosystem
( Most cosmo ecosystem token pairs are LP with ATOM or OSMO )
if ATOM1 catches on how likely will they switch?
For existing EVM users
a lot of EVM people don't fully understand how IBC works & the idea of forking means a totally different thing to them.
With these in mind i think ATOM1 will not beable to capture "new" money or attention into the ecosystem if not even negative impact
However im not specalised in cosmo ecosystem happy to be educated & learn more from the cosmo top brains
P.S.
Im looking forward to see 848's impact on comso defi tho!
I will keep this substack free, but if you ever want to support me feel free to join my subscription
