What is Osmosis (OSMO)? OSMO Cryptocurrency Complete
Description of What is Osmosis (OSMO)? OSMO Cryptocurrency Complete
AMM DEX is one of the most important areas for any ecosystem looking to expand into the DeFi space. If Ethereum has Uniswap, Binance Smart Chain has Pancakeswap, then Cosmos will have Osmosis as a representative.
In this article about Osmosis and OSMO tokens , I will provide you with all the details including:
- What is Osmosis? What are the outstanding features of Osmosis?
- Tokenomic information about the OSMO token: key metrics, token distribution (allocation), application (token use case).
- Where to buy OSMO? Store on which wallet?
- Osmosis development roadmap and latest updates.
- Information about the Osmosis team and partners.
- Some similar projects in the same field so that you can realize the potential of Osmosis.
What is Osmosis?
Osmosis is an AMM DEX built using the Cosmos SDK and operating within the Cosmos ecosystem . This is a relatively new ecosystem and there are not many prominent projects in the DeFi space. However, with steps like the present time. I can forecast Cosmos will expand my DeFi space in the not too distant future and it is very likely that Osmosis is the liquidity center of the Cosmos system.
Osmosis will work according to the AMM mechanism. This means that assets will not be traded as an Orderbook, but will be Swap in a Liquidity Pool according to the formula of Smart Contract.
Highlights of Osmosis (OSMO)
The most distinctive feature of Osmosis is its versatility . The Osmosis team posed the following problem. Currently AMMs like Uniswap are very popular, but when users have a need for stablecoin Asset, they have to use Curve Finance . When they want to reduce the risk of Impermanent Loss , they have to use a Balancer.
Therefore, Osmosis was born to solve these problems. Some functions can be adjusted through the Governance of Osmosis:
- Change fee: Transaction fee, Liquidity withdrawal fee.
- Can actually manage the Pool (pool creator or community).
- Add or remove assets that are supported in AMM.
- Create Pool with different Swap curve (similar to Curve Finance) => Suitable for Stable Asset.
- Create a Pool with a different ratio of the tokens in the Pool (similar to Balancer ) => Reduce the risk of Impermanent Loss.
As such, Osmosis will combine the power of Uniswap , Balancer and Curve while being able to flexibly customize the functions in their Pool. This makes it easy for Osmosis to scale without the need to migrate liquidity like Uniswap v2 to Uniswap v3.
Pools on Osmosis.
TVL of Osmosis has continuously grown in recent years, although the growth number is not high, it shows that more and more people are joining the Cosmos system. The Trading Volume Index is also growing compared to the beginning of 2021. However, there is still a decrease compared to the beginning of 2022.
Detailed information about OSMO Token
Key Metrics OSMO
- Token Name: Osmosis.
- Ticker: OSMO.
- Blockchain: Cosmos.
- Token Standard: Updating...
- Contract: uosmo
- Token Type: Utility & Governance.
- Total Supply: 1,000,000,000 OSMO.
- Initial Supply: 100,000,000 OSMO.
- Circulating Supply: 282,464,369 OSMO.
OSMO Token Allocation
Distribution of OSMO tokens between groups
The total supply of 1,000,000,000 OSMO will be distributed as follows:
- Liquidity Reward Mining: 40.5% - 405,000,000 OSMO.
- Developer Vesting: 22.5% - 225,000,000 OSMO.
- Staking Reward: 22.5% - 225,000,000 OSMO.
- Community Pool: 4.5% - 45,000,000 OSMO.
- Strategic Reserve: 5% - 50,000,000 OSMO.
- Airdrop: 5% - 50,000,000 OSMO.
OSMO Token Sale
Osmosis will not open a token sale. All Osmosis tokens will be distributed through Airdrop , Unlock for Developer, Staking and Liquidity Mining on Osmosis Platform.
OSMO Token Release Schedule
In total, Osmosis will have 1,000,000,000 OSMOs and will be divided into several releases, each with a 1-year cycle. Initial total supply is 100 million OSMO, from year 2 onwards the number of token releases will decrease by ⅓ compared to year 1 and so on distribute the remaining 900,000,000 OSMO.
According to Osmosis estimates, their total tokens will be unlocked around the 9th or 10th year from the token issuance date. You can see the illustration below.
- Initial total supply: 100,000,000 OSMO.
- Year 1: 300,000,000 OSMO.
- Year 2: 200,000,000 OSMO.
- Year 3: 133,333,333 OSMO.
OSMO token release schedule.
OSMO Token Use Case
OSMO token will be applied in the following cases:
- Provide liquidity in Osmosis Pool to get Reward.
- Staking on Osmosis to get Reward.
- Propose and vote on system changes.
How to earn and own OSMO Token
Currently, you can own OSMO tokens by 2 methods:
- Buy OSMO directly at Osmosis.
- Claim Fairdrop OSMO token.
This is an airdrop for users who hold ATOM in their wallet before February 18, 2021. A total of 50,000,000 OSMO tokens are distributed based on the percentage of ATOM held in wallets. However, only 20% were Airdropped at that time, in order to claim all the remaining 80% of OSMO, users need to take 4 more steps to show themselves as an active user for the platform, including:
- Execute a swap command.
- Provide liquidity to the exchange.
- Stake OSMO.
- Vote in the Governance Proposal of Osmosis.
This helps the number of tokens airdropped to go to individuals who actually use the platform. Users will have 2 months to receive, until the 6th month, if the OSMO token is still left over due to no recipients, it will be transferred to the Community Pool.
Tasks to receive the OSMO Airdrop.
OSMO rate today
In addition, you can also track the price of OSMO token right on Coin98 Wallet with the following steps.
Instructions for viewing OSMO prices on Coin98 Wallet.
OSMO Token Storage Wallet
According to Osmosis information, for the best interaction with the platform, users should use the Keplr wallet. This is a wallet that is directly linked to Osmosis allowing users to store and receive OSMO tokens.
Keplr is a decentralized wallet that supports chains built on Cosmos such as FetchAI, Kava, Certik Chain, etc. When using Keplr, remember to save your private key carefully to avoid the risk of losing your assets.
Roadmaps & Updates
Currently in the Cosmos ecosystem, there are two projects in the field of AMM DEX, Gravity DEX and Osmosis. This makes Osmosis less competitive compared to other ecosystems. If it can be moved quickly and in the right direction, Osmosis has a vision of becoming the liquidity hub for the Cosmos ecosystem, similar to Uniswap in Ethereum and Pancakeswap in Binance Smart Chain.
To do that Osmosis needs to connect IBC to connect to the Cosmos ecosystem and they are done. At the moment, Osmosis is not only the largest Zone but also the only AMM DEX in the Cosmos system, so most of the money in the Cosmos system is in Osmosis.
Project team, investors, partners
Project team
Osmosis does not specifically announce the project team. However, I did find some members on Twitter. You can learn more about them through their profile:
- Sunny Aggarwal (@sunnya97).
- Josh Lee (@dogemos).
- George Wosmongton (@wosmongton).
- John Patten (@jpatten_).
- Dev (@valardragon).
Investors
Osmosis Zone raised $21 million led by Paradigm and many other investors including Do Kwon (Terra), Nascent, Figment, Ethereal Ventures, Robot Ventures.
Partner
Our partners are the chains located in the Cosmos ecosystem, because Osmosis is the largest zone and also the largest AMM, Osmosis receives a lot of benefits from other chains. You can go to the Map of Zones to track the number of commands made through the Osmosis Zone.
Similar projects
AMM DEX Liquidity is one of the key areas in any ecosystem looking to grow the DeFi space. That's why most ecosystems have a lot of representatives about AMM DEX. Here are some standout AMM DEXs.
- Ethereum: Uniswap, Sushiswap, Curve,...
- Binance Smart Chain: Pancakeswap, Bakeryswap,...
- Solana: Raydium, Serumswap,...
- Polygon: Quickswap,...
- Avalanche: Pangolin,...
Official Website: Osmosis.
Above, I have provided you with all the latest and detailed information about the Osmosis project and the OSMO token , if you have any questions or comments, you can comment below!
