Cosmos touts itself as the “internet of blockchains.” This is because Cosmos consists of several independent blockchains that can communicate with each other in a decentralized way. This network of blockchains enables Cosmos to be faster and cheaper than other legacy blockchains like Ethereum.
The Cosmos ecosystem is powered by its native token ATOM. The network uses a proof-of-stake consensus mechanism where ATOM holders can stake tokens and earn rewards. ATOM is also a governance token, allowing holders to participate in the development and improvement of the network.
Cosmos is the brainchild of developers Jae Kwon and Ethan Buchman. The Interchain Foundation (ICF), the non-profit behind Cosmos, helped raise $17 million in an initial coin offering (ICO) in 2017. The project raised another $9 million to fund development in a Series A funding round in 2019.