Summary

The Osmosis automated market maker (AMM) affords users the ability to create new and unique liquidity pools that are controlled and voted on by participants. The Osmosis token (OSMO) is used to vote, stake, and provide liquidity throughout its pools. Superfluid staking, a process novel to the Osmosis protocol, allows users to stake assets to secure the network while simultaneously providing assets in a liquidity pool.

The Cosmos Ecosystem Osmosis is a decentralized exchange (DEX) and automated market maker (AMM) protocol for the Cosmos ecosystem. To understand the specifics of Osmosis, it’s helpful for you to know the context of the Cosmos ecosystem upon which and for which it is built. Cosmos is an overarching ecosystem of blockchain networks that can connect with one another as part of Cosmos’ mission to build an “internet of blockchains.” Interoperable decentralized applications (dApps) on these various networks communicate with each other and send tokens and data back and forth via Cosmos’ Inter-Blockchain Communication (IBC) Protocol.

The Cosmos Hub is the mainchain that serves as the central ledger and primary blockchain protocol to connect with other blockchains in the Cosmos Network. It is a Proof-of-Stake (PoS) blockchain built by the Ignite team and uses ATOM as the native token for voting, staking, and transactions. Cosmos also provides a software development kit (SDK) to enable projects and teams to build on its network. Now that we have a surface-level understanding of Cosmos and how it operates, we can dive deeper into Osmosis.

Method

In this dashboard, we check the following items: Bills 114, 196 and 337 were all passed in an attempt to promote decentralization in the ecosystem. After the approval of these proposals, how did the voting power of the top 66% validating the active set change? How did the Nakamoto coefficient change after these events? Was time a factor? Analyze both the voting power and the Nakamoto coefficient t+30, +60, and +90 days after these proposals.

The table FROM osmosis.core.fact_staking was used to collect data and the currency filter LIKE 'uosmo' was used to limit the data.

voting power

It can be seen that the Nakamoto Coefficient was equal to 7 at the beginning of the proposal, and at the end of the 337th proposal, the Nakamoto Coefficient was equal to 7. At the time of the 197th proposal, this value reached 8, but this value was again reduced to 6, but then this value reached 7.

It can be seen how after the first offer of 114, it did not have much effect on the voting power and the acceptance was not very good, so the amount of voting power for the above 66% validation decreased over time from more than 40M OSMO to about 34M.

However, after Proposition #196, acceptance was very good, and the voting power of approvers increased from the previous 33 million to over 76 million in less than 5 months.

Since the last offer #337, it seems that the voting power is increasing and 196 still has the most impact.

In the 03-day chart of 60 days, 90 days, and 120 days, it can be seen that it has the highest percentage in the 90-day period, and after 90 days, this routine continues to increase for 196 days, and the power of voting has increased.

It can be seen that the top 10 validators in the chart initially started from 0.76 and reached 0.59 over time, and as a result, its voting power decreased. If the top 10-50 starts at 0.2 and finally reaches 0.3, it can be seen that its voting power has increased.

Conclusion

It can be seen how after the first offer of 114, it did not have much effect on the voting power and the acceptance was not very good, so the amount of voting power for the above 66% validation decreased over time from more than 40M OSMO to about 34M.

However, after Proposition #196, acceptance was very good, and the voting power of approvers increased from the previous 33 million to over 76 million in less than 5 months.

Since the last offer #337, it seems that the voting power is increasing and 196 still has the most impact.

In the 03-day chart of 60 days, 90 days, and 120 days, it can be seen that it has the highest percentage in the 90-day period, and after 90 days, this routine continues to increase for 196 days, and the power of voting has increased.

It can be seen that the top 10 validators in the chart initially started from 0.76 and reached 0.59 over time, and as a result, its voting power decreased. If the top 10-50 starts at 0.2 and finally reaches 0.3, it can be seen that its voting power has increased.

It can be seen that the Nakamoto Coefficient was equal to 7 at the beginning of the proposal, and at the end of the 337th proposal, the Nakamoto Coefficient was equal to 7. At the time of the 197th proposal, this value reached 8, but this value was again reduced to 6, but then this value reached 7.