A whole universe of opportunity for token holders.
The Cosmos Hub pioneered a new era in the blockchain space by being the first public proof-of-stake blockchain built on top of a Byzantine Fault Tolerant consensus engine.
Yet, this was only the beginning – two years after its launch, the Cosmos Hub is set to play a leading role in the Interchain by offering a wide array of vital services.
Staking ATOM gives rights to participate in the open governance process, which governs the evolution of the network.
Interchain Accounts are the accounts of the IBC-enabled world. Essentially, they allow blockchains to securely control accounts on other chains over IBC. With this feature, users will be able to access the entire Interchain through their single Cosmos Hub account. One account, for all the chains.
The Cosmos Hub’s Gravity DEX will enable users to seamlessly swap digital assets coming from all over the interchain. This service improves on existing designs by combining AMM features (like that of Uniswap) with an orderbook-based model, providing a richer and more efficient trading experience.
Backed by billions of dollars of ATOM staked on the Cosmos Hub, the Gravity Bridge will be the most secure, efficient, and decentralized cross chain bridge to Ethereum. It will enable Cosmos assets to flow into the Ethereum ecosystem as ERC-20 tokens and, conversely, native ERC-20 tokens to flow in the Cosmos ecosystem.
Staked ATOM will be able to secure more than just the Cosmos Hub. In practice, validators will be able to validate chains that request it (called child-chains) on an opt-in basis, with their ATOM delegation as collateral. In exchange for securing child-chains, ATOM stakers will be rewarded with additional rewards. The more child-chains, the more rewards!
Just like websites have domain names, blockchains will have chain names. These chain names will be managed on the Cosmos Hub, which will operate a Chain Name Service. They will make it much easier for users of the Interchain to identify the chain(s) they want to interact with.
Staking Derivatives will be an important primitive in the cross-chain Defi space. At their core, staking derivatives are claims against staked ATOM. Just like staked ATOM, staking derivatives accrue staking rewards - but unlike staked ATOM, staking derivatives are liquid, meaning they can be transferred. Since they represent staked ATOM, staking derivatives are at risk of being partially burnt if the underlying ATOM get slashed.