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Know What problems of Blockchain are solved by Cosmos Network for a better-decentralized future
Cosmos project makes blockchain technology less complex and easier for the developers due to a modular framework. Additionally, its Inter-blockchain Communication Protocol helps the blockchain networks communicate easily with each other, which prevents fragmentation.
ATOM is the native token of Cosmos Network, which has an essential role in the governance of the network. The current price of ATOM, at the time of writing, is $24.23, and it is decreased by nearly 7.7% within a period of 24-hours. The ATOM token is primarily designed to facilitate the scaling, interoperation, and communication between the independent chains. The token has a total supply of slightly more than 260 million, and around 203 million coins are already in circulation. Notably, ATOM cannot be mined but can be earned via staking.
What problems does the Cosmos network solve?
· Scalability- According to the Cosmos developers, the existing proof-of-work algorithms are pretty costly, slow, and lack scalability. Cosmos Network resolves scalability with current blockchain technology by utilizing many tools, including, Tendermint, Cosmos SDK, and Inter-Blockchain communication Protocol. Notably, Tendermint Core can feature a 1 second block time and has the ability to handle 10,000 transactions per second. Cosmos developers arrive at the point where the application itself becomes the scalability bottleneck. Cosmos SDK is the tool designed for simplifying the process to create secure applications on Tendermint. Inter-Blockchain Communication Protocol, when paired with Tendermint, enables the heterogeneous chains for exchanging the tokens and data.
· Interoperability- It is often seen that the economies based on Blockchain are often isolated from each other and cannot transfer the tokens among them. So, the Cosmos Network uses Inter-Blockchain Communication Protocol to resolve the issue of interoperability, where IBC technology acts as a messaging protocol for the blockchains.
· Usability and Sovereignty- Using Cosmos SDK, the Cosmos network offers a developer-friendly solution for the Blockchain.
Recently, Gravity DEX was launched on Cosmos, which enables the trustless and permissionless exchange of tokens across the Cosmos and other networks and integrates the liquidity pools across the protocols using its Equivalent Swap Price Model AMM. The Launch of Gravity Dex is the step to enhance the interoperability of Blockchain.
What is exciting about Gravity DEX?
· It can potentially incentivize the other chains to connect to it, which means that it can generate unlimited transactions and brings DeFi to Cosmos.
· Gravity DEX enables more utility for Cosmos Hub due to permission swaps of tokens between blockchains.
· With Gravity DEX, developers can easily list their tokens to get price and liquidity.
· It offers better price consistency due to the use of the Equivalent Swap Price Model.
· Gravity DEX provides improved order execution because it uses batch execution for removing the possibility of price manipulation.