Cosmos Hub founder plans fork, ATOM holders may receive token airdrop

Cosmos founder has declared plans to fork Cosmos Hub and build a new chain AtomOne.
ATOM1 the new token would be awarded to ATOM stakers, proportional to their amount.
ATOM founder invited views on improvements to Cosmos, and proposed tackling the issues in the new chain.

Ekta Mourya FXStreet

The Cosmos Network brings together independent and scalable blockchains, making it possible for these chains to communicate with each other. Cosmos (ATOM) holders can stake their token to earn a yield and participate in the project’s governance process.

After the approval of a recent vote on ATOM halving, slashing the token’s inflation in half, founder Jae Kwon shared his thoughts on leading a fork of the Cosmos Hub. Kwon was against the halving proposal, however it passed and the founder is keen on coordinating a split.

Also read: Cosmos community passes proposal to slash ATOM inflation, seeks long-term profitability

Cosmos founder opposes ATOM halving, plans for split in the project

The ATOM halving proposal that suggests slashing the token’s inflation by 50% and ensuring long-term profitability for holders, received support from the community. The proposal was passed with the support of 41.1% votes. Cosmos founder Jae Kwon likely voted against the proposal and it passed either way.

Kwon shared his views in a recent tweet on the social media platform X.

Now listen up Cosmonauts. Despite our voting NWV #848 has ended up passing, something that isn't too surprising (though it would be good to know whether the later votes came from newly purchased atoms) @cosmos @Allinbits_inc #raptureparty #atomone

Now let's coordinate a split.
— antechristus #343 (@jaekwon) November 25, 2023

The Cosmos founder unveiled his plan to coordinate a split and invited comments and feedback from ATOM holders that voted against the proposal. Kwon asked users to write their feedback in the form of issues that the founder plans to tackle in his new chain, with a token ATOM1.

The plan involves a fork of the Cosmos Hub and organizing the minority that was against the ATOM halving proposal. Kwon makes it clear that he does not wish to collapse ATOM or Cosmos Hub and suggests integrating ATOM and allowing participation in the new chain.

DeFi educator, John Galt, believes that a split in Cosmos Hub could result in the biggest airdrop in the ecosystem.

1/8 @JaeKwon, the founder of Cosmos, has declared he will lead a fork of @CosmosHub.

If the fork happened, it would probably result in the biggest ATOM airdrop ever. And it would resolve years of political tension - very bullish for Cosmos Hub.

What you need to know pic.twitter.com/aqM4CJccC1
— John Galt (@lurkaroundfind) November 26, 2023

At the time of writing, ATOM price is $9.629, with nearly 3% drop in the past 24 hours. ATOM price yielded 2.80% weekly gains for holders.

Author

Ekta Mourya

FXStreet

Ekta Mourya has extensive experience in fundamental and on-chain analysis, particularly focused on impact of macroeconomics and central bank policies on cryptocurrencies.

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