The Cosmos ecosystem seeks to enhance its capabilities by adopting the Covenant System, a set of public goods that enable blockchains, DAOs and protocols to enter into trustless financial agreements with one another. To support this development, AADAO has awarded a grant of $178,084 to fund the Interchain Allocator’s Covenant System by Timewave.
This would enable the Hub to become the Interchain’s most effective utilizer of protocol-owned liquidity and enhance its replicated security offering. In other words, allowing the Hub to conduct token swaps with any IBC-enabled chain, establish liquidity pool positions on platforms like Astroport, and improve protocol revenue shares for its replicated security offering. This will position ATOM as the preferred reserve asset within the Interchain.
This grant is designed to lay the groundwork for a significant upgrade to the Cosmos Hub, enhancing its liquidity management capabilities and supporting its role as a key player in the Interchain ecosystem. The successful implementation of this grant will advance the Hub’s strategic goals and improve its financial operations.
