Making the Hub an Investment fund for the interchain
Transforming the Cosmos Hub into a Strategic Interchain Investment Fund Problem: Strengthening the Hub’s Economic Utility The Cosmos Hub currently serves as a security provider via Interchain Security (ICS) . However, its role in capturing long-term value remains limited. The ICS Challenge: Unrewarding Consumer Chains? Today, many consumer chains generate little to no revenue , meaning that Cosmos Hub validators are essentially making a long-term bet on their success. The problem? If these chains become profitable and their token become enough capitalized, they may leave ICS, leading to a net loss for the Hub . As a result, the Hub provides the infrastructure for launching chains but without guaranteed long-term benefits . Solution: A Decentralized Interchain Investment Fund Managed by Governance To secure sustainable economic growth, the Cosmos Hub could become an interchain investment fund , strategically accumulating and holding tokens from IBC-connected blockchains—including those not using ICS. Goals of the Interchain Fund: Diversify the Hub’s Holdings : Holding tokens from multiple blockchains reduces dependence on ATOM alone and enables the Hub to…
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is it a remaster of the AAT, Atom Treasury? And as an investor and staker of Atom, I would like to have voting power over consumer chains through this investment fund. Is that possible?
I am in favour of this vision ! need to go deeper.
Accumulate as many tokens as possible through consumer chains and redistribute voting power accordingly to stakers.
No more useless dust.
A governance interface through our own wallet: “vote through the hub’s investment fund.”
No selling pressure on the Cosmos tokens accumulated in exchange for voting power on their chain. Economic virtuous cycle.
add IBC routing feature directly on the hub and allow multiple fee tokens BUT keep the fees on the hub’s investment fund and vote.
ex: add Skip Go app on the hub.
accumulate fees, then vote or burn or both.
Yes AAT module was thought for that , but I just would like to see what community think about this idea without technical considerations
It would be, for me, a REVOLUTION for Cosmos Hub to use such a system. Considering it as an investment fund across the interchain is a major asset that places Cosmos Hub back at its center. This could create a virtuous economic cycle where all chains align with Atom, and Atom aligns with the other chains.
I hadn’t thought about it, but indeed the voting power accumulated give a voting power per atom staked
On the other hand, the particularity of PSS is to allow to delegate to validators according to the rewards obtained by consumer chains
In your case, no matter who you delegate to, you will have voting power via the tokens potentially earned by other validators
Huge feature !
First, I expect there to be a lot of opinions on this topic in the forum, as I believe it could be a game changer for the role of Cosmos Hub and ATOM within the interchain.
First, does the community fully understand the stakes of this first-class feature?
Second, we should dive deeper into the technical aspects—how it could be built, implemented, by whom, and within what timeframe.
Third, I would like to see active participation from the Keplr team and the foundation to provide the necessary technical arguments regarding the impact on the user interface.
I also expect Keplr to be more active on Cosmos Hub and to become a cornerstone in aligning ATOM. We need a wallet to rule them all, and they are positioned as a leader.
No brainer ! Would support such initiative
I like Keplr a lot, however, I don’t think I already saw them participate in any form in Atom governance on this forum. I have seen so many times replies saying "this should be implemented at the front end level (ig Wallets), but never seen any contact or proof of any kind of synergy between Keplr or leap here. Hope the new interchain team can improve this part
Tagu
I don’t think we should do this with cosmos hub community pool. I made a suggestion on X yesterday about something close to what you suggested above. My suggestion is about building a community VC Dao which has to vote and fund various teams of builders and projects launchîng on the cosmos hub. Thèse projects must be checked by ICF or any trustful concil to prevent rugs and rats . This will work as a CoinList ICO the investment projects will be validated by ICF then will be submitted to a vote by the DAO in order to choose which of these projects will be presented for fundraising. Once the project is validated, there will be a public fundraiser which will require locking 50/100 atoms in the dao to be able to participate and have the possibility of investing between 100 and 1000$ and more for the largest. the details will be developed later like fixing the number of needed atoms to lock but you understand the principle. these projects will be entirely financed by the DAO and with a % participation from the ICF why not ?. Their sole mission will be to add value to the cosmos hub by launching it on the hub and even if they launch in PSS they will never be able to leave…
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Cosmos Hub : Le Banquier et Gardien de l’Interchaîne
“Connecte-toi à moi, je te connecterai à tout. Je sécuriserai tes jetons en ne les vendant jamais. En échange, je prendrai un siège à la table des décisions de ta chaîne.”
Imagine un grand pont intergalactique reliant des dizaines de planètes . Chaque planète veut commercer, échanger des ressources et se développer, mais elles ont besoin d’un pont sécurisé et fiable pour éviter les attaques et les accidents.
Cosmos Hub fournit ce pont et la sécurité nécessaire via Interchain Security. Mais il va plus loin :
Il te connecte à tout : chaque chaîne qui s’intègre à lui bénéficie d’un accès direct à l’écosystème interchaînes.
Il protège ton jeton : les actifs captés ne sont jamais vendus, assurant un alignement économique à long terme.
Il gagne un siège dans ta gouvernance : en échange de cette protection et connectivité, Cosmos Hub obtient une influence stratégique sur l’évolution de ton écosystème.
Ainsi, Cosmos Hub ne se contente pas d’être un fournisseur de sécurité. Il devient le banquier intergalactique, un acteur stratégique qui finance, protège et façonne l’avenir de l’Internet des Blockchains.
I actually like this proposal, we tried to do something like this pre-ICA.
I think cosmos hub was initially ideated to act as a central layer connecting other chains, but atom alone definitely cant pull it off from the economic perspective.
Introduction: Those who know me are aware of my strong bias in favor of the Hub. To me, the Hub is a de facto democratic state due to its decentralized governance by stakers and other parameters. However, you also know that I find this system particularly anarchic if it is not properly structured, especially through a constitution. From a conceptual standpoint, I completely agree with you, you have perfectly designed the interchain relations of the Cosmos Hub by leveraging the power of the community pool, its influence, and its governance. I truly believe this idea deserves further development. However, I am convinced that relying on direct governance is not a good approach at all. Problem: A Conflict Between Two Visions Two fundamental ideas are in opposition here: • Ensuring logical voting within each chain: To guide decision making effectively, it is essential to understand the mechanics of different external chains. Voting “yes” simply for the sake of voting is not a viable strategy. Instead, the Hub should be seen as a political actor within the various chains, capable of providing constructive criticism both positive and negative on ongoing proposals and…
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ATOM and its Connected Chains: Mutual Alignment for a Strategic and Thriving Ecosystem. Problem: Strengthening economic cooperation between the Hub and its partners. The Cosmos Hub currently serves as a security provider via Interchain Security (ICS). However, its role in long-term value capture remains limited and struggles to make itself attractive compared to its competition. The ICS Challenge: Unrewarding Consumer Chains? Today, many ICS consumer chains generate little or no revenue. This means that Cosmos Hub validators are essentially making a long-term bet on their success. The problem? If these chains become profitable and sufficiently capitalized, they can leave ICS, resulting in a net loss for the Hub. As a result, the Hub provides the necessary infrastructure for launching chains but without guaranteed long-term benefits. Solution: Transforming the Cosmos Hub into a Strategic Interchain Investment Fund The goal is to ensure sustainable economic growth and turn the Cosmos Hub into an active and strategic economic player by accumulating and holding tokens from multiple chains connected to IBC, whether they use ICS or not. Economic Model of the New…
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I think I prefer that the hub be an investment fund for the hub
I completely agree. I believe governance should also evolve to optimize decision-making while remaining under the control of the global governance.
@Noam you should consider it for your work… that was your idea. and it is a great idea.
If the Hub were to have a native DEX, we could potentially accumulate certain tokens from the broader interchain ecosystem and invest them in an investment fund. This could be used to participate in governance (or not just for that) but also to develop the liquidity pools of this DEX or enable DeFi functionalities directly from the Hub… just an idea.
How can we effectively and intelligently utilize ICS rewards and the various tokens captured by the Hub to stimulate its growth while also protecting it from any net loss if one of its partners were to leave ?
Horrible idea. Hard NO.