What Is Cosmos?
Cosmos serves a multifunctional open-source platform, which aims to create an ecosystem that allows you to link and exchange information between various existing block networks in a fully decentralized way. It tends to solve one of the biggest problems of modern blockchain networks, which, in essence, is that they cannot communicate and conduct transactions among themselves without the use of intermediaries, including centralized exchanges. It opens greater possibilities of interoperability between cryptocurrencies. This project came into existence in 2014 thanks to the initiative of the Interchain Foundation (ICF), a Swiss non-profit Foundation and is developed by All in Bits Inc., a software development company run by Jae Kwon and Ethan Buchman. You can learn more about the project on its official website.
The main function of Cosmos is to close the communication gap between the different Blockchains in the market. To fulfill that purpose, it builds the "Internet of Blockchains" consisting of a central Blockchain called "Hub", surrounded by multiple independent chains called "Zones". Thus, the blockchains brought together by Cosmos are not directly interwoven with each other, but they all connect to a Hub, which acts as an intermediary for exchanges between the chains. So there is no need for them to trust each other, but to do so in the central Hub to which they are connected.
From the Cosmos consensus-building system, Tendermint, the capacity to interconnect these chains with each other is generated, allowing the exchange of tokens between different chains, with operations and governance independent of each other. By allowing heterogeneous blockchain networks to communicate with each other and at the same time arming users with the ability to create their own hubs, Cosmos allows for the creation of a globally interconnected blockchain network, regardless of the programming language and the operation of each Blockchain. Cosmos has also created a token for the use of its system other than ATOM. We refer to the photons, tokens used in the payment of commissions and fees, exercising the same function as gas in Ethereum.
Pros and Cons of Cosmos
Advantages of Cosmos (ATOM)
- Cosmos has proven that the collaboration between different currencies and chains is not a negative thing that undermines their autonomy. On the contrary, the joint advancement within the framework of competition is precisely what can allow the crypto world's flaws to overcome the scalability problem.
- Cosmos has immense support from multiple projects in the cryptocurrency community. The majority of notorious exchanges without a previous request from the developers, added Cosmos to their listing. Moreover, it is financially supported by Changping Zhao of Balance and Fred Ehrsam of Coinbase.
Disadvantages of Cosmos (ATOM)
- Although Cosmos looks quite positive on paper, it faces a great challenge from a technical point of view like the varying degrees of the willingness of different cryptocurrencies to participate in the Internet of Blockchains. The future of the project is quite questionable since it previously moved in slow steps in its development. The project got famous years after its inception and mainly due to lucky circumstances and thanks to exchanges paying attention to it and promoting the project on their platforms.
- Cosmos has strong competitors like AION, Polka dot and Panta which are also developing in the same direction and quite rapidly. In order to keep people interested and money invested in the project, Cosmos developers need to make fast and effective decisions. The price of the cryptocurrency is known for the fluctuation of its price but right now its growth can be expected only in the correlation of the growth of the market itself.
Where to Buy Cosmos?
ATOM is available on all the main exchanges like Binance, Bibox, Huobi Global, Kraken, Poloniex. You can also trade it in other places like ABCC, OKEx, Hotbit, Gate.io, Trade.io, BitForex, Bitfinex, GDAC, Coinone, BigONE, DragonEX, TOKOK, and Bittrex. The available pairs with ATOM include exchanging it for USDT, BTC, ETH, BNB, TUSD, KRW, TRY, USDC, and SXC as the most popular options.
Storing ATOM: Best Cosmos Wallets
Cosmos, despite being a relatively young project, is supported by a growing range of multi-currency wallets for various devices and operating systems. The official web portfolio created by the Cosmos development team is Lunie Wallet. Mobile wallets for the ATOM token are Cosmostation, Ethereum's imToken, and Wetez, available in both Android and iOS versions, as well as Trust Wallet and Atomic Wallet. ATOM is currently served by the Ledger hardware wallet, specifically Nano S and Nano X models.