[SIGNALING PROPOSAL] [PASSED] Integrating Token Factory into the Cosmos Hub
Change log • 2025-08-13 Created initial post Summary Highlight the need to integrate the Token Factory module into the Cosmos Hub, leveraging the activation of permissionless CosmWasm deployment via Proposal 1007 (recently adopted). Details Background Proposal 1007 was recently adopted, authorizing permissionless deployment of CosmWasm contracts on the Hub. The Token Factory module provides native capabilities for creating IBC-ready tokens. Main Goals • Provide developers with a complete environment on the Hub (dApp + token + callbacks) without relying on other chains. • Facilitate the creation of natively IBC-ready tokens, promoting their integration into the Cosmos ecosystem via IBC. • Capture more economic value on the Hub (more transactions, more fees, more outbound IBC). • Leverage mature and battle-tested code, already audited and successfully used on other chains. • Create an attractive environment for innovative projects (governance tokens, stablecoins, RWAs, LSD, etc.). • Enable complex interchain workflows thanks to callbacks feature (e.g., atomic swaps, transfer-triggered responses, etc.). Advantages • Decentralized token…
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Ophir DAO is a redemptive treasury operating on the Cosmos Hub. We manage our operations through DAODAO infrastructure and are strong supporters of adding the Token Factory module to the Hub. As a migrated project, we are now preparing to issue a new token to finalize our transition. While we have evaluated many Cosmos-based chains, the Hub has always felt most aligned with our vision. With permissionless CosmWasm live—and the potential addition of Token Factory—we believe issuing our governance token directly on the Hub through a DAODAO token-based DAO would deepen that alignment and further strengthen the Hub’s role as the center of the Cosmos ecosystem. Our members are a diverse group of committed power users from across the Cosmos. We see this proposal as a meaningful opportunity to unlock new capabilities, foster innovation, and create stronger ties between DAOs and the Hub. At the same time, we recognize the concerns raised in the signaling post: versioning questions, the risk of spam, and the importance of not distracting from the Hub’s core role. These are valid considerations, and we respect the importance of governance weighing them carefully. Overall, Ophir DAO…
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100% Yes VOTE Cosmos Hub Needs new energy.. this needs to happen ASAP…
Even considering the risks, making the Hub useful sounds like a decent bet 
All for !
I like this idea, everything to bring more users, more volume and more usecase to ATOM/Cosmoshub is welcome to me only then we have a chance at competing with the likes of Solana & SUI
Support from me!
Context Following the discussions on the initial post, it has become clear that the IBC Hooks functionality is not essential for the Cosmos Hub. In fact, the callback functionality is already enabled on the Hub, which addresses much of the original need. Updated Proposal Given this, the signaling proposal should be refocused. Instead of requesting the activation of IBC Hooks on the Cosmos Hub, the emphasis should now be placed on implementing a Token Factory . This is the most relevant and impactful feature to strengthen the Hub’s role and interchain interactions. Why a Token Factory Makes Sense • Complementarity with Existing Features • The existing callback functionality already covers the key use cases that were driving the need for IBC Hooks. • The Token Factory would therefore complement the Hub’s current toolkit without creating overlap. • Native Token Creation and Management • Enables projects and communities to create and manage tokens directly on the Hub, without relying on external solutions or smart contracts. • Improves security, transparency, and governance of newly created assets. • Strengthening the Cosmos Hub’s…
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Integration of Token Factory on Cosmos Hub appears to be a powerful strategic move: it turns the hub into a complete center for creating and managing tokens, gradually increases its attractiveness for developers, helps retain economic activity and value, and also supports the standardization of Cosmos assets.
The main risks are the threat of spam, increased governance workload, and the need to maintain a high level of security, but these issues can be addressed through governance mechanisms and technical expertise.
Our team supports this proposal.
This prop does not request adding IBC Hook. The hub has already a similar solution : callback.
We want to express our support for experimenting with token creation on the Hub. As we previously shared in this discussion, we believe this initiative represents a significant ecosystem opportunity.
Token issuance on the Hub carries unique advantages compared to smaller chains: stronger security, decentralization, and credible neutrality, while still enabling full composability across the broader ecosystem through IBC.
Key Strategic Value
We suggest encouraging the Interchain Lab (ICL) to design and implement a dedicated marketing campaign showcasing why the Hub should become the premier venue for token issuance. Core points to highlight could include:
- Seamless portability via IBC, ensuring broad accessibility across the ecosystem.
- Enhanced security and neutrality, positioning the Hub as the most reliable issuance platform.
- Reinforced ecosystem trust, as assets minted on the Hub would carry stronger reputational weight.
We see this as a natural step forward to strengthen the Hub’s role as the anchor of the interchain economy.
Hi all, here is an update from Hypha in our capacity as Cosmos Labs’ implementation partner on the Hub.
We’ve onboarded into our development role and have worked with Cosmos Labs over the last month to build out a plan for integrating tokenfactory in the next release, which will be Gaia v26 at the end of January.
We’ll be using the Strangelove implementation of tokenfactory (GitHub - strangelove-ventures/tokenfactory: SDK v50 tokenfactory w/ optional Sudo Minting) which is active on Babylon. This implementation was audited by Hashlock in 2024/
Thank for the Update Lexa !