A little bit of chit-chat
A proposal to develop an open-source AI model named "Akash" on the Akash Network, showcased on Huggingface, has passed. The initiative aims to showcase AI training on Akash, attract AI/ML developers, bolster GPU providers, and underline Akash's open-source dedication.
Paused
Two weeks ago, at Cosmoverse, Stride core contributors presented a proposal: to convert the entire STRD supply into ATOM. The announcement sparked extensive conversations, making the “Convert entire STRD supply to ATOM” post the most commented in Cosmos Hub governance forum history.
However, amidst the discussions and feedback, it became evident that there is a significant divide within the Cosmos Hub and Stride communities regarding the proposal. Acknowledging this polarization, Stride contributors have expressed reservations about moving forward with concrete conversion plans.
The driving force behind the proposal, as articulated by Stride contributors, is to reinforce Cosmos Hub's centrality in the Cosmos ecosystem. They posit that merging STRD, STARS, and OSMO supplies into ATOM could catalyze Cosmos Hub's dominance, spurring significant growth for the entire Cosmos realm.
For now, Stride's core contributors will remain devoted to their mission within Cosmos, concentrating on maximizing liquidity via liquid staking. They've invited the Cosmos Hub community for further contemplation on this multi-token proposal, hopeful that it could pave an enriching path for the ecosystem's evolution.
A new fiscal policy
Blockworks Research, following up on their Cosmos Hub Fiscal Policy discourse, has presented a revamped tax proposal for ATOM. The proposal advocates for shifting from a fixed 10% community pool tax to a multi-tiered system encompassing:
Vote Power Tax
Dynamic Community Pool Tax
Additionally, they introduced "Cubic Delegation," aiming to address centralization concerns in on-chain governance while ensuring consistent voting quorums.
The current Cosmos Hub system underscores centralization risks, especially with token holders' delegation preferences. Blockworks argues that to solidify Cosmos Hub's stature as a reliable infrastructure provider, market-driven mechanisms are essential.
A highlighted suggestion is the LSM “Validator Bond” concept, aiming for node operators and their delegates to have mutual alignment or "skin in the game."
With the Vote Power Tax, Blockworks hopes to balance stake distribution gradually. The tax aims to disincentivize delegations to validators with higher vote power. As an example, delegators to higher-ranking validators will face a higher tax, unless the validator increases its self-bonding. If implemented, this tax could generate an estimated additional ~900k ATOM in revenue for the Cosmos Hub in the first year, aiming to address centralization issues through fiscal means.
Lastly, they propose adjusting the community pool tax, raising it from 10% to 20%, with an annual decrease until it settles at 5%. This would accelerate the community pool's growth.
Wrap Up
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