Juno: the arrival of smart contracts on Cosmos, and scams?
Cosmos opens up to smart contacts, with their share of problems!
Since this fall, the Cosmos ecosystem has gained momentum. Not only have the main tokens not ceased to increase their capitalization, but the whole has gradually been enriched, with each new blockchain bringing new functionalities to the whole. Among the latest arrivals, Juno is bringing smart contracts to Cosmos, for better and maybe worse.
- Back to Cosmos: the internet of blockchains
- Juno: a new model on Cosmos ?
- Will Cosmos resume its bullish rally?
Atom, The Gateway To Cosmos, The Internet Of Blockchains
To understand the specificity of Juno, the new blockchain of the Cosmos set since this fall, you have to bear in mind the architecture of this interoperable set. Unlike “classic” blockchains, Cosmos is not a set of blockchains isolated from each other. Here, there is no need for a more or less secure bridge to send liquidity from one blockchain to another. No risk of seeing a network cluttered with a multitude of smart contracts. On Cosmos, the IBC (Inter Blockchain Communication) allows the different blockchains (= zones) to directly transmit messages and also tokens. In addition, each area has a specialty Atom.
Osmosis, for example, does not allow the deployment of smart contracts at the risk of overloading the network. Thus, if Atom serves above all as a gateway, Osmosis is the main place of exchange for tokens. We could also cite Kava and its lending service, Secret Network and its confidentiality solution… There is no need to list them all, the main thing is to know that each new zone will enrich the whole through interoperability. Cosmos is therefore above all a collaborative space.
Juno Smart Contracts Arrive On Cosmos
Arriving in October, Juno took a few months to show its specificity. While participating in the IBC and this collaborative space, this area is undergoing a small revolution: after Secret Network, it’s Juno’s turn to bring smart contracts to Cosmos. Thanks to Juno, CW20 tokens will be able to multiply and trade on the Junoswap DEX. At the moment, five tokens are available: BFOT, FOT, HULC, KING and NETA. Junoswap even allows you to immediately create your own token. If this functionality will make it possible to multiply experiments on Cosmos and to launch small projects in smart contracts before they have their own zone.
However, this freedom also has a counterpart. Anyone can create a malicious token that could empty your wallet as soon as they try to sell it. This is why you have to be wary of tokens that appear directly as an airdrop in your wallet. They can be poisonous gifts. The problem however is that the principle of this gift of tokens is part of the mindset of Cosmos. Each new project in fact distributes part of its tokens to users of the ecosystem. But some malicious people can hijack this principle in their own interest and it will be hard to tell the difference between airdrops. With the upcoming arrival of Evmos and Agoric, two other areas with smart contracts, Cosmos users will therefore have to acquire other habits.
ATOM, A Repeated Bullish Rally
In three months, the JUNO made a bullish rally against the grain of the crypto market. Its price more than tripled until it reached an ATH of $32 in early February with a capitalization of over $1 billion. This epic is amazing when you know that the JUNO does not appear on any centralized exchange platform. The OSMO, which had experienced such strong growth at the end of the year, is also not listed on any platform. In a sense, the Cosmos ecosystem does not need any outside help to continue its expansion. In a sense, the JUNO and OSMO are indispensable for trading all the other assets in this ecosystem. In addition, the possibility of airdrop for all owners of JUNO and OSMO (as well as ATOM) creates continuous buying pressure on these cryptocurrencies.
ATOM meanwhile continues a slower ascent. If its price has corrected from its ATH at 44 dollars to reach 27 dollars today, it should be remembered that ATOM started the year 2021 at less than 10 dollars. In 22nd position in capitalization, this gateway to Cosmos has definitely confirmed its importance in the cryptosphere. After Osmosis and Juno, the year 2022 will undoubtedly be a good year for the new areas of Cosmos.
Even if its name is not yet one of the best known in the Cosmos ecosystem, Juno will undoubtedly speed things up by allowing the rapid creation of tokens by smart contract. It is still unclear whether this novelty will have more positive than negative consequences. In any case, it is sure that it will change the balance of power inside the Cosmos ecosystem and that Osmosis will no longer be the main place for transferring liquidity.