Journalist
Posted:
- Cosmos plans to welcome the BSC into its growing IBC ecosystem.
- A look at the timeline for the launch and what it means for ATOM’s future.
Cosmos’ vision and efforts toward an interconnected blockchain environment are taking shape. The IBC has been expanding and Cosmos just revealed that its next stop will be the Binance Smart Chain (BSC).
Realistic or not, here’s Cosmos’ market cap in BTC’s terms
According to the official announcement, Cosmos is currently working toward connecting to the BSC. It will reportedly take multiple processes or steps such as an audit that will facilitate the implementation of IBC with solidity.
As far as the timeline is concerned, Cosmos revealed that it is working towards a testnet rollout in Q1 2024. The official mainnet launch is scheduled for Q2 2024.
IBC is coming to the Binance Smart Chain 💥@tokifinance is excited to share the details behind a historic event set to expand the #interchain
IBC landing on #BSC unlocks robust cross-chain use cases!
Witness #IBC connecting the blockchain space 👇https://t.co/yT4Yi7L2YD
— Cosmos – Internet of Blockchains ⚛️ (@cosmos) September 29, 2023
The decision to expand into the BSC reflects the push towards non-Cosmos SDK blockchains. In other words, the expansion seeks to explore interconnectivity and value beyond blockchain networks that exist in the Cosmos ecosystem.
The BSC is one of the most successful blockchain systems. Its integration into the IBC will facilitate a new never achieved before level of connectivity in the blockchain space. This will facilitate smooth flow of value among the members of the IBC. Cosmos also revealed that it currently has over 100 blockchains connected to the IBC.
IBC is coming to the Binance Smart Chain 💥@tokifinance is excited to share the details behind a historic event set to expand the #interchain
IBC landing on #BSC unlocks robust cross-chain use cases!
Witness #IBC connecting the blockchain space 👇https://t.co/yT4Yi7L2YD
— Cosmos – Internet of Blockchains ⚛️ (@cosmos) September 29, 2023
Will the development have an impact on ATOM?
The expansion of the IBC into the Binance smart chain may generate more opportunities for ATOM to be staked in smart contracts. The CosmosHub has so far registered a sizable uptick in total value locked this year. So far it has almost $660,000 worth of ATOM in total value locked (TVL) but this is a relatively small amount compared to its circulating supply.
Source: DeFiLlama
The expansion of the IBC into more networks especially those that already enjoy robust utility and value may fuel ATOM’s TVL growth in the future. At least this new development confirmed that the network is headed in the right direction. Speaking of, the network’s development will be a key component in determining whether Cosmos is on the right track.
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The number of Cosmos core developers has been growing over the years. However, the numbers dipped since June this year but have lately been showing signs of recovery. A healthy sign that might boost investor confidence.
Source: DeFiLlama
Enough demand might have a positive impact on ATOM’s price action. But how has the cryptocurrency been fairing under the slow market conditions lately? ATOM has been attempting a relief rally since around 12 September, indicating that it has been gaining bullish momentum in the last two weeks.
Source: TradingView
ATOM exchanged hands at $7.12 at press time, which represents a 54% discount from its 2023 high. The discount highlights an attractive entry in case the market turns bullish.
Source: https://ambcrypto.com/ibc-to-expand-to-bsc-anticipating-the-implications-for-cosmos-and-atom/