Cosmos is undergoing one of its most significant operational shifts since its inception. With the consolidation of core development under Interchain Labs (ICL) and a renewed focus on ATOM-aligned applications, the ecosystem is streamlining its approach to governance, infrastructure, and economic incentives.
This change comes after years of fragmentation in Cosmos’ development pipeline. With multiple teams working independently on CometBFT, CosmosSDK, IBC, and CosmWasm, progress was often slowed by misalignment. Now, with a single entity overseeing core infrastructure, Cosmos aims to accelerate innovation and strengthen the Hub’s role in the broader interchain ecosystem.
What’s Changing in Cosmos?
1. Core Development Under One Roof
Interchain Labs is now responsible for maintaining and advancing CometBFT, CosmosSDK, IBC, and CosmWasm. This consolidation eliminates redundant efforts and ensures a more cohesive development roadmap.
2. Moving Away from ICS
Interchain Security (ICS) was introduced as a mechanism to secure consumer chains using the Cosmos Hub’s validator set. However, ICS in its current form is being phased out due to several key limitations:
Minimal value to ATOM – ICS did not generate the expected demand for ATOM, failing to establish a strong economic incentive model.
Heavy burden on validators – The system added operational risks and complexity for Cosmos Hub validators.
Slower upgrade cycles – Chains using ICS struggled with upgrades due to the dependency on the Hub’s governance and validator coordination.
Instead of full-set ICS, Cosmos will leverage Partial Set Security (PSS) and alternative alignment strategies that better serve the Hub’s long-term sustainability.
3. ATOM-Aligned Applications Take Center Stage
With ICS winding down, Cosmos is shifting its focus to an ATOM-centric application ecosystem. Over 20 projects are currently in development or being relaunched with deep integration into the Hub’s infrastructure.
This approach aligns with Cosmos’ new roadmap:
Reducing the time and cost to launch and operate L1s
Making it easier to onboard users and capital into Cosmos
Positioning the Hub as an aggregator of infrastructure, apps, and liquidity
This shift signals a transition away from Cosmos as a neutral coordination layer and toward a more integrated, economically sustainable ecosystem.
What This Means for Cosmos’ Future
The restructuring of Cosmos operations marks a clear shift in priorities. With a unified development team, a leaner security model, and a more strategic focus on applications, the ecosystem is adapting to a changing space.
These changes reflect lessons learned from past governance decisions and indicate a push toward efficiency, usability, and economic alignment. Cosmos is no longer just about interoperability, it is evolving into a network that actively distributes infrastructure, applications, and liquidity in a way that also benefits the ATOM economy.
As this transition unfolds, stakeholders will need to reassess their role within Cosmos and how these shifts impact the broader interchain movement. What’s certain is that Cosmos is entering a new era—one that prioritizes execution, adoption, and ATOM’s long-term viability.
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At Stakecito Labs, we've honed our craft as validators. Our reputation as the third-largest validator by delegation count within the Cosmos ecosystem speaks to our unwavering dedication and the trust placed in us by over 270,000 delegators worldwide.
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