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"InCel" leads the Cosmos ecosystem. In addition to INJ and TIA, what other potential projects are there in Cosmos?

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The recent trend of the native tokens of Injective and Celestia has attracted attention, once again attracting the market's attention to the Cosmos ecosystem. BlockBeats has taken stock of other potential projects in the Cosmos ecosystem that are worthy o

Recently, the term "InCel" has been frequently mentioned in the cryptocurrency community. It refers to the Layer 1 blockchain Injective based on Cosmos and the modular blockchain Celestia. Many people even believe that "InCel" will become the "SoLunAvax" of this cycle.

The reason for the emergence of "InCel" is because the native tokens INJ of Injective and TIA of Celestia have recently performed very well in terms of price.

On December 12th, INJ broke through $25 with a 24-hour increase of 20.02%. As of the time of writing, the price is $26.57. TIA also rose above $11.5 with a 24-hour increase of 14.9%, reaching a new historical high. As of the time of writing, the price is $11.7.

According to CoinGecko data, INJ currently has a market capitalization of USD 2.246 billion, ranking 36th on the cryptocurrency rankings; TIA currently has a market capitalization of USD 1.296 billion, ranking 45th on the cryptocurrency rankings.

「In+Cel」: Cosmos' New and Old Layer 1

Injective and Celestia are both L1 blockchains based on the Cosmos ecosystem.

Injective mainnet was launched in November 2021. The Injective protocol provides a decentralized order book trading infrastructure for accessing cross-chain spot and derivative markets with zero gas fees.

Specifically, Injective is an application-specific blockchain built using the Cosmos SDK, aimed at becoming an interoperable decentralized trading infrastructure layer. This architecture is different from DEXs running on Ethereum or other Layer-1s, as the protocol provides transaction services on its own execution layer and allows third parties to build trading platforms on Injective without permission. All trading platforms built on Injective share the same order book, maximizing capital utilization.

Although Injective Chain is built using the Cosmos SDK, it uses custom Ethereum accounts and wallets generated by its applications to parse EIP-712 type data.

Regarding value accumulation, Injective has essentially consumed 60% of all exchange fees that were previously managed by community-led auction management, thereby exerting deflationary pressure on the entire token supply. The remaining 40% is taken by relayers to incentivize liquidity depth on the exchange. In other words, the value accumulation of the INJ token is a function of trading volume, rather than transaction count like other alternative protocols.

The INJ token can also be used as collateral support for derivatives, and unlike other derivative markets, it can serve as a substitute for stablecoins. In addition, Injective has integrated with Skip Protocol to return MEV profits to stakeholders, and strengthened its value accrual case in early February of this year.

In August of this year, Injective upgraded its token economics, allowing all dApps built on Injective to contribute to the INJ burn auction without any limit on the cost they wish to burn. This can make the INJ-driven on-chain economy even stronger, and the burn auction can now derive value from all dApps in the rapidly growing Injective ecosystem.

Injective ecosystem dApp; Image source: Injective official website

As a strong project in the Cosmos ecosystem, Celestia is on par with the established L1 chain Injective in terms of technological innovation and market attention.

Celestia is also a Layer 1 chain focused on modularity, built on the Cosmos SDK. Its underlying layer consists of consensus and data availability, namely the consensus and data availability layer, referred to by the project as the DA layer. The two key functions of the DA layer are data availability sampling (DAS) and Namespaced Merkle trees (NMT).

Compared to a single-piece blockchain that independently completes execution, settlement, consensus, and data availability, modular blockchain decouples these functions among multiple dedicated layers. As part of a modular stack, similar to the structure of Lego, it provides better flexibility and scalability for each module.

On September 26th of this year, Celestia announced the launch of Genesis Drop, and eligible participants can receive up to 60 million TIA on October 17th. Subsequently, Injective's ecological DEX Helix launched pre-release token futures trading services, allowing users to trade before the token is officially issued or listed on the trading platform, and Celestia (TIA) is the first supported futures token in this market.

On October 31st, Celestia mainnet went live, followed by its native token TIA being listed for trading on multiple mainstream CEX exchanges. Within 10 days of its listing, TIA experienced minor fluctuations around the 2.5 mark before a strong surge on November 11th, which initiated an upward trend that saw its price reach a high of $7.4. On December 12th, TIA broke through the $11.5 mark, reaching an all-time high.

Cosmos ecosystem has which other popular projects?

Recently, with the increasing popularity of public chain sectors such as Solana and Avalanche, the community is also curious whether Cosmos will be the next one.

In November of this year, the Cosmos Hub community initiated proposal #848, code-named "ATOM Reduction: Setting the Maximum Inflation Rate to 10%", and called on the community to vote. According to official documents, the proposal aims to reduce the ATOM inflation rate from about 14% to 10%, which will reduce its stake annual interest rate from about 19% to about 13.4%. In the following days, the Cosmos ecosystem tokens saw a general rise, with the ATOM token rising by 12% in 7 days.

Recently, Injective and Celestia have performed well. What other projects in the Cosmos ecosystem are worth paying attention to?

Osmosis

Osmosis is the flagship DEX of the Cosmos ecosystem, primarily providing cross-chain trading. Users can earn profits through staking or liquidity pools. In October 2021, Osmosis announced a $21 million private token sale financing round led by Paradigm Ventures.

According to DeFiLlama data, Osmosis currently has a TVL of $157 million, with a growth rate of 18.67% in the past month. Its native token is currently priced at $0.9, with a 7-day growth rate of 22.9%.

Kujira

Kujira is a Cosmos Layer 1 platform that has created a dApp and infrastructure ecosystem. According to official statistics, as of November 14th, Kujira's ecosystem matrix currently includes 22 protocols/products, covering collateral liquidation, DEX (margin trading, limit orders, etc.), liquidity yield farming, lending markets, Launchpad, wallets, automated trading strategies, OTC trading, P2P trading, NFT trading markets, LST, on-chain ETFs, and other areas.

According to DeFillama data, the TVL of the Kujira ecosystem has been growing significantly since September, and as of now, its TVL is $95.39 million, with a 7-day increase of 13.35%. The price of its token, KUJI, is currently $4.26, with a 7-day increase of 28.9%.

Neutron

Neutron is an unlicensed smart contract platform built using the Cosmos SDK. Developers can deploy applications once and scale them across the entire IBC network of interconnected blockchains without deploying or maintaining multiple custom versions of their protocol.