new bridge between Cosmos (ATOM) and Cardano (ADA)

A bridge between Cardano and another ecosystem is expected for some time. It seems that the choice finally fell on Cosmos. This new bridge between Cosmos and Cardano should increase the adoption of both cryptocurrencies, but it is not to everyone’s taste. Find out in this article, all the details about this link between the Cosmos crypto and the Cardano blockchain.

What are the challenges of the Cosmos-Cardano connection?

Changes are the result of the development of cryptocurrencies logically. In order to remain competitive by offering better services, updates are essential. It is for this reason that we sometimes see connections between blockchains as is currently the case between Cosmos and Cardano. In fact, a tweet from Cardano Daily revealed that there will soon be a bridge between Cardano and Cosmos. “Also, I mentioned in a tweet that Cardano needed a bridge to another ecosystem and Cosmos — a Sifchain-backed Cardano bridge — was released right after,” tweeted Cardano Daily.

Logically, this collaboration is welcome, because both have many points in common. On the one hand, there are the same ambitions in terms of research and development, accessibility and community functions. On the other hand, the objective is to improve the interoperability between the two networks.

With the EVM compatible layer (Ethereum virtual machine), this cross-chain bridge technology will enable the basic bridge deployment between Cosmos and Cardano. Both projects are looking to open up new cross-channel opportunities to boost their appeal. The Cosmos-Cardano bridge is currently under development. It will be powered by Peggy 2.0 and Sifchaina DEX omni-chain on Cosmos which allows Ethereum and Cosmos exchange, stacking and bridges.

What will Cosmos bring to Cardano?

The Cosmos team defines their cryptocurrency as “the internet of Blockchains”. The Peggy 2.0 bridge it will bring to this alliance will provide unprecedented access to decentralized governance protocols for new growth and liquidity. Cardano should therefore see its number of users and transactions increase rapidly.

Cosmos is built on interoperability, being compatible with Cardano’s EVM-enabled tiers. It will give developers and users access to an ecosystem of chains, DApps, assets and utilities. All in an independent and highly decentralized manner. In addition, Cosmos gives Cardano an essential plus: security. With the hack of Nomad Bridge, safety is now a priority for both projects.

A significant number is recorded in the Cosmos ecosystem, including: $4.2 billion in pledged crypto assets. We can also mention its $200 million in cross-chain transactions per month. And finally, there is a 40 channels and thousands of DApps. After announcing the bridge between Cardano and Cosmos, Cexplorer announced a 95% jump in the Cardano network. However, despite its significant potential, some members of the Cardano community remain skeptical.

Conclusion

For some, the timing is not good. They think that the two blockchains are too late to think about interoperability. Security, governance and scalability should be the priority. Bridges like the ones Cosmos and Cardano want to build are prime targets for hackers. They will not hesitate to try to infiltrate wallets and rob users. We still intend to hack Ronin. This allowed hackers to extract more than 550 million dollars in ether and USDC.

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Cédrick Aimé GUELANG OFALABEN

A doctoral student in financial law and an experienced SEO web editor, Cédrick Aimé is passionate about cryptocurrencies, trading, etc. He naturally participates thanks to his articles in the daily blockchain revolution for a better democratization of DeFi.