Market Signal

What Is Osmosis (OSMO)?

[Osmosis (OSMO)] is an automated market maker protocol ([AMM]) for the [ATOM] ecosystem. Osmosis was inspired by [Balancer] and [Uniswap] and wants to provide tools that go beyond traditional token swaps and offer users [DeFi] functionality for a cross-chain world. For example, developers can build customized AMMs with sovereign liquidity pools and users can launch liquidity pools with unique parameters like [bonding curves] and multi-weighted asset pools. That means a [liquidity pool] does not always have to follow a 50:50 distribution between its assets but can be customized according to the wishes of the party setting up the pool.

Osmosis's vision is to build a [cross-chain] native [DEX] that connects to all Cosmos ecosystem chains. Later, it plans to expand to non-IBC chains like [Ethereum] and chains similar to [Bitcoin]. In this fashion, Osmosis will transfer its unique customizability like custom-curve AMMs, dynamic adjustments of swap fees, and multi-token liquidity pools beyond blockchains in the Cosmos ecosystem.

Who Are the Founders of Osmosis?

Osmosis was launched by Sunny Aggarwal, an Indian blockchain entrepreneur that runs Sikka, a blockchain infrastructure company focused on participating in protocols and networks for the decentralized internet. His company is also a top five validator on Cosmos. Sunny served three years as a research scientist at the Tendermint protocol and Cosmos Hub before developing Osmosis.

One of the investors in Osmosis is Paradigm, a digital asset investment firm with stakes in countless other blockchains and protocols like [Axie], [FTX], and [Maker], to name a few.