Diplomatic difficulties in Cosmos: Ace Noble ran away, encrypted "Toys" abandoned

By Nancy, PANews

In the world of motion, the Iron Arm, the Boywood, never had one ending. He is both a hero, remembered by the times, and a useless iron in the corners of the world, when energy is exhausted。

In the encrypted world, Cosmos, known in the Chinese community as a boy wood with a beautication of a coin, a bell in which everything is connected to a hero's cloak, has gradually destroyed the script in a technical, ecological and profit-based scaffolding war. Today, this once-high-hot project is facing ecological loss of blood, relocation of assets and re-evaluation of narratives。

Ace Noble, who stood up for half the day, chose to run away

On 20 January, Noble officially announced that it would move out of Cosmos SDK to an independent high-performance EVM L1 and planned to go online on 18 March。

This decision has generated much debate in the Cosmos community. For many, Noble is one of the key forces in the history of Cosmos DeFi and a stable currency in the ecology of Cosmos IBC。

For a long time, the DeFi development of Cosmos has been mired in a lack of primary, highly liquid and stable currency. This has led directly to a high degree of fragmentation of ecological mobility, which has to rely on cross-chain bridges to complete the movement of funds, which in turn are accompanied by trust costs and security risks. Even more deadly was the collapse in 2022 of the UST, on which the Cosmos ecology had been highly dependent。

The real turn was in 2023. At that time, Noble and Circe entered into a partnership to position themselves as a universal asset distribution chain dedicated to the IBC ecology and as the first original USDC distribution platform in the IBC ecology。

With the introduction of primary stabilizers, Cosmos finally has the ability to compete with other mainstream public chains for liquidity, and DeFi TVL has recovered rapidly from the valley and traded in parallel with user activity。

In parallel with the ecological recovery of Cosmos, Noble itself has achieved rapid growth. Its cumulative financing exceeds $18 million, becoming one of the core infrastructure of the IBC ecology。

To date, Noble has cumulatively processed over $22 billion in transactions and has become the main liquid layer of over 50 block chains. At the same time, Noble ' s Eco-Partnership has released over $250 million in assets, including various stable currencies such as USDC, EURE, USDN and USDY, with around 30,000 active users worldwide。

The importance of Noble is more intuitive from recent IBC operational data。

Map of Zones data show that, over the past 30 days, Noble IBC transactions amounted to $9.384 million, the first of 110 Zones connected to IBC, which is more than 1.8 times larger than the second Osmosis. The rest of the chains are either almost stagnant or have a low monthly turnover. In a way, much of the current IBC ecological activity is being supported by Noble。

But more than the volume of transactions, the financial attributes deserve attention. In the last 30 days, the first-ranking Noble transaction averaged approximately $1272, followed by Osmosis only $56 and dYdX about $28. At the same time, the number of trading addresses in Noble was less than 48,000 during the same period and contributed significantly more money than in other chains. This means that Noble does not rely on large bulk transactions to maintain data, but rather large amounts of money are the main access routes to Cosmos。

The departure of the core liquidity infrastructure was undoubtedly a severe blow to the Cosmo ecology。

The reasons given by Noble for this move, albeit euphemistic, are at stake. In its view, the EVM ecological tool chain is more mature and the development of more centralized resources helps it to deliver functions more efficiently and to serve mainstream applications and institutional needs; in contrast, the Cosmos ecology has become a constraint in product overlay and functional expansion。

(a) acoustic wood with broken arms, farewell & ldquo; tractor & rdquo at the toy store;

The flight of Noble is not an isolated case, but a microcosmos ecological crisis。

“ Cosmos ecosystems are nearing death, many projects have been closed (e.g. Penumbra), some have been converted to maintenance models and resources have been transferred elsewhere (e.g. Osmosis) and others are being evacuated (e.g. Noble). The interest of users and markets in Cosmos has fallen to historical lows. &rdquao; Joint founder of the ecological project Anoma, Christopher Goes, recently wrote。

In fact, for more than a year, dozens of Cosmos eco-projects have chosen to shut down or migrate, covering several tracks such as stabilization currency, privacy, borrowing, DEX, NFT and so on, almost without exception. Some projects are winding down because of weak growth, unsustainable income patterns and continued loss of developers; others have lost blood as a result of security accidents, depleted mobility or macroeconomic market changes, and have eventually opted to abandon the Cosmos route. The relocation of the project to other ecosystems such as Base, Arbitrum, Solana and Sei, and even the direct construction of independent block chains, is becoming more realistic and common。

Christopher Goes further noted that the ICF Foundation (Interchain Foundation) had clearly shifted its focus to business development and to the capture of ATOM ' s value, reducing its priority to the wider ecology and even opting out. The industry as a whole is moving towards a more product- and income-centred model and a concentration of a few existing ecology and assets。

This crisis of marginalization stems from both internal and external environmental changes。

As a central narrative, Cosmos' Appchain model is challenged in reality. Independently initiated and sustained, a block chain requires much more input than was anticipated earlier. In particular, for most small and medium-sized projects, this economic model is almost unsustainable in the bear market environment. More importantly, the fragmentation of Cosmos has not been substantially mitigated compared to other ecological smooth experiences。

And the currency economy of ATOM also aggravated the situation. Long-term high inflation does help to incentivize pledge and safety at an early stage, but it continues to dilute holders without effective value absorption mechanisms. Moreover, the application chain based on SDK does not need to rely on ATOM itself, which has its own original currency for Gas, pledge and governance, and where the costs and values of ecological growth do not flow back to ATOM and fail to create effective value capture rings. The end result is a growing application chain & ldquo; fat & rdquo; ATOM continues & ldquo; thinning & rdquo。

In addition, internal fighting in governance was seen as further weakening the implementation of Cosmos. From the differences between early alliances to the fierce debate surrounding the adjustment of the inflation rate in ATOM, and even the threat of a split, the ICF, which was responsible for ecological monitoring, was subsequently accused of the lack of transparency in the management of funds and inadequate support from developers, and the erosion of community trust。

Last year, Cosmos Labs (formerly Interchain Labs) faced a centralization dispute. The Cosmos web certifier, POSTHUMAN, stated publicly at the time that Cosmos Labs did not represent the cosmos community as a whole, that it had less voting power than Cosmostation and was closely linked to the ICF, that it advocated the path of survival of the powerful, called for the suspension of the implementation of the EVM, frozen payments related to the ISC and promoted the private chain path, leading to the run-away of the project, undermining the reputation of Cosmos and the interests of the ATOM holders, and called for community and builders to take the lead。

External competition should also not be overlooked. Between 2023 and 2025, high-performance public chains, such as L2 and Solana, rapidly captured the minds of developers and users, offering options for lower thresholds and greater mobility. By contrast, the complexities of Cosmos are becoming disadvantageous rather than moats。

In the face of the recent decline in the market, the recent response by the eco-growth director of Cosmos, RoboMcGobo, stated that the so-called closure of the project was not unique to Cosmos, but a systemic bubble across the industry. Whether solana, Arbitrum or Base, active is declining significantly, &ldquao; encryption services for encryption &rdqua; stock game age is over。

In his view, Cosmos had problems with &ldquao; he had been selling tractors &rdquao in toy stores; Cosmos SDK, which is essentially an industrial-grade heavy tool, is used extensively to construct simple applications such as DeFi or NFT, and the scene does not match capacity. Its programmable interoperability, non-molecular books, protocol customization and compliance tools continue to be difficult advantages for other block chain programmes. At the same time, it is often overlooked that some of the world ' s largest banks and Governments are using Cosmos to drive their next phase of growth。

RoboMcGobo also stated that next year the growth focus of Cosmos would be to put SDK in the hands of customers who could truly make real value. As the encryption industry moves towards “ adult ” more stays at “ toy store age ” projects leave or shut down, while the abandonment of childhood products and examples are natural。