What is Cosmos
Cosmos (ATOM) is a decentralized ecosystem of independent blockchains that its creator hopes is the foundation for the next generation of internet technology. Rather than participating in the divisions between cryptocurrencies, Cosmos unifies them, enabling interoperability, currency exchange and the Internet of Blockchains (IoB). In other words, Cosmos is an ecosystem of blockchain networks that can scale and interact with each other.
Cosmos has been used for CBDC pilot programs, stable coin transfers, and by US-based payment banks.
Atom (ATOM) is the network token used by the network for stacking as well as transaction tokenization.
ATOM should not be confused with the abandoned Atomic Coin (ATOM) project. It is the main cryptocurrency existing on the Cosmos platform, which is designed to facilitate communication, scaling and interaction between independent circuits.
History of Cosmos (ATOM)
In 2014.Jae Kwon applied Byzantine fault tolerance (BFT) research in the context of a public blockchain proof of stake (PoS) system and founded Tendermint Inc.
In 2015. Ethan Buchman joined Kuon in the development of Tendermint. Tendermint began initial software development, and in 2016 Cosmos became a reality.The Cosmos hub was launched on March 13, 2019.
The Interchain Foundation (ICF) supports the development of Cosmos. ICF is a Swiss non-profit foundation established to support the development of Cosmos and the ecosystem contributing to the Cosmos network, which is built by over 15 companies.
The team built this product thanks to two components to make this happen: the Tendermint Core and the Inter-Block Communications (IBC) protocol.Together, they form the Cosmos Network.
How does Cosmos work?
The main purpose of the Cosmos network is to transfer transfers from one smart contract to another. Let’s say person X wants to send 10 ETH from blockchain A to blockchain B. The coins are first deposited into chain A and locked as the proof of validation is sent to chain B.
Chain B then verifies that more than two-thirds of the validators on chain A have validated the locked amount. After this validation, the 10 ETHs of person X are unlocked and are now available in chain B, in whichever decentralized application (dApp) X chooses. In order for this interoperability process to work reliably,
Cosmos relies on three key technologies:
- Tendermint Core (TC), an open source base layer that acts as a platform for blockchain development. Anyone with an application can use this blockchain embedding to integrate their own decentralized/shared network along with their own BFT-compliant consensus model.
- Cosmos SDK – Cosmos Software Development Kit is an open source toolkit for creating decentralized applications (dApps).Additionally, developers can use the Cosmos SDK to build sovereign blockchain applications called zones, serving as smart contracts instead of relying on single layer one chains. In this way, it is possible to create an interconnected zone hub that powers Cosmos’ inter-chain interoperability. Called the Cosmos hub, the connected zones do not interact with each other per se, but through the central Cosmos hub.
- Inter-Blockchain Communication Protocol (IBC)/Inter-Blockchain Communication Protocol – The next layer is the interconnection layer that enables communication between all the individual circuits. This creates a series of interconnected zones and hubs that operate independently but share a common system architecture. This is the key layer for the exchange of tokens, data and digital assets across the chain.
Cosmos integrates processing/verification hubs to make it all work together. The hubs use the proof-of-stake (PoS) consensus mechanism to validate Tendermint transactions. The project has gained traction in recent years, thanks in part to $9 million in funding from Paradigm and Bain Capital.
How do I buy ATOM?
1. Choose a crypto exchange
There are numerous cryptocurrency exchanges and exchanges that range from easy-to-use systems to complex dashboards for advanced traders.
Because ATOM is so popular, you’ll be able to purchase the token on most cryptocurrency exchanges, but it’s advisable to stick to a few of the more popular exchanges like Binance, Kraken, Coinbase, etc.Different platforms come with different fees, security measures, and may include other features, so it’s a good idea to do your research before signing up.
2. Create an account and confirm it
Start with account registration, which is completely free on the aforementioned platforms. For added security, 2FA – two-factor authentication – is also enabled.This way, you and your device are the only ones who can grant access to the account.
You are then taken through a KYC process, which is providing personal information – ID card/passport/driving license details, proof of address (e.g. bank statement or utility bill).
After completing these steps, you are ready to buy, sell and trade Cosmos (ATOM), as well as avail of various services such as staking.
3. Fund your account
Once your account has been registered and verified, you need to fund the account so you can start taking advantage of the platform’s buying and trading services.
The main deposit options are:
Credit/Debit Card
Bank deposit
Peer-to-peer (P2P)
Where to buy ATOM?
