Osmosis (OSMO)

Osmosis is a decentralized cryptocurrency exchange designed for the Cosmos ecosystem allowing investors to grow their crypto investments through a powerful yield farming strategy.

Osmosis is a decentralized exchange (DEX) appchain in the Cosmos ecosystem, functioning as both a Layer-1 blockchain and an application. Built by forking the Cosmos SDK and secured by Tendermint’s Proof-of-Stake (PoS) consensus, it enables cross-chain transactions via Inter-Blockchain Communication (IBC). Osmosis has 150 active validators chosen from 395 candidates, with the OSMO token staked to operate validators. Tokenholders can also delegate OSMO to validators, who secure the network and earn rewards.

History:
Founded in January 2021 by Sunny Aggarwal and Josh Lee, Osmosis aimed to create a customizable DEX inspired by Balancer and Uniswap’s AMM pools. Notable milestones include:

• Feb 2021: Osmosis announced
• Feb 2022: Superfluid Staking introduced
• Apr 2022: Osmosis Grants Program launched
• Jan 2023: Concentrated Liquidity added
• June 2023: OSMO 2.0 Tokenomics introduced, reducing inflation
• July 2023: Supercharged Liquidity launched
• Nov 2023: Blockchain halted due to transition error

Osmosis’ mainnet supports DEX swapping, staking, on-chain governance, and IBC transfers. Planned features include:

• LP Governance: Allowing LPs to govern liquidity pools
• Interfluid Staking: Expanding superfluid staking to secure other Cosmos chains
• Mempool Privacy: Preventing validators from front-running transactions
• Chain-Level Privacy: Developing “shielded swaps” for anonymous transactions with Namada