Cosmos (ATOM) Overview
Cosmos (ATOM) is a blockchain project that aims to address some of the most challenging problems that the industry currently faces. This includes providing a solution to the slow, expensive, unscalable, and environmentally harmful proof-of-work protocols used by Bitcoin. Cosmos achieves this by providing an ecosystem of interconnected blockchains.
The project has several goals, including simplifying blockchain technology and making it more accessible to developers. The modular framework that Cosmos offers demystifies decentralized apps, while an Interblockchain Communication protocol ensures that blockchain networks can communicate with each other, preventing fragmentation in the industry.
Tendermint, a core contributor to the Cosmos network, founded the project in 2014. A white paper for Cosmos was published in 2016, followed by a token sale in 2017. ATOM tokens are earned through a hybrid proof-of-stake algorithm and are used to secure the Cosmos Hub, the project’s flagship blockchain. This cryptocurrency also has a role in the network’s governance.
The Cosmos network consists of three layers: the application layer, the networking layer, and the consensus layer. The application layer processes transactions and updates the state of the network, while the networking layer allows communication between transactions and blockchains. The consensus layer helps nodes agree on the system’s current state.
The Tendermint BFT engine is the most crucial element of this layered design. It allows developers to build blockchains without having to code them from scratch. The Cosmos Hub was the first blockchain established on the Cosmos network, designed to function as a go-between for all the unique blockchains that have been formed within the network, known as “zones.”
The Cosmos team has also created the Cosmos software development kit (SDK), which allows developers to use Tendermint’s consensus algorithm to create blockchains. The SDK is based on the modular philosophy, meaning that developers can plug in various modules to build the kind of blockchain they need. It also allows for different programming languages to be used, making it accessible to a wider range of developers.
What makes Cosmos unique is its ability to tackle the issue of fragmentation seen in blockchain networks. Cosmos makes it possible for blockchains to communicate with each other, turning the traditional model on its head. Cosmos is described as “Blockchain 3.0,” with a focus on providing straightforward infrastructure that is easy to use. Scalability is another priority, allowing for substantially more transactions to be processed per second than other blockchains like Bitcoin and Ethereum. The hope is that complex applications will be straightforward to construct as a result.