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Cosmos is a decentralized network of independent parallel blockchains that uses BFT consensus algorithms. The Cosmos ecosystem compromises two layers: one for networking and one for consensus. The first layer is responsible for managing the network, while the second layer is where the actual consensus takes place. This separation of the network and consensus layers from the application layer allows for more flexibility and modularity in the blockchain design. Cosmos aims to be “the internet of blockchains”, where different blockchains can communicate with each other and share resources, making it easier for developers to build and maintain DApps. To achieve this vision, the Cosmos ecosystem relies on open-source tools, including the Inter-Blockchain Communication Protocol (IBC), for its implementation in the Cosmos SDK, and Tendermint as the base layer providing distributed state finality.
ATOM is the native cryptocurrency of the Cosmos network. It is used to incentivize network participation and pay transaction fees. By staking ATOM, it helps to provide economic security for the public blockchain. Validators use ATOM to secure the network, and delegators use them to earn rewards for supporting the network. ATOM is currently the 23rd largest cryptocurrency by market value and is traded on many cryptocurrency exchanges.
The Inter-Blockchain Communication Protocol (IBC) is a protocol that enables different blockchains to communicate with each other and share resources. This makes it possible for independent blockchains to interoperate and scale more easily. IBC is part of the Cosmos ecosystem and is implemented in the Cosmos SDK, an open-source toolkit for building applications on the Cosmos network. The goal of IBC is to enable the creation of a decentralized network of blockchains.
Cosmos is designed to be interoperable, scalable, modular, secure, and decentralized. The interoperability of Cosmos allows different blockchains to communicate with each other and share resources, enabling them to work together more efficiently. The network is highly scalable, supporting many transactions and users without sacrificing security or performance. Additionally, the Cosmos ecosystem is modular, making it easy for developers to customize and extend the network to meet their specific needs. Tendermint BFT for consensus ensures that the network can operate reliably and securely, even in the presence of faulty or malicious nodes. Finally, Cosmos is a decentralized network, which means that no single entity controls it, helping to prevent centralization and ensuring that the network is fair and open to all participants. If you have yet to experience Cosmos, download BitKeep Wallet and create a Cosmos (ATOM) wallet today!