Privacy-focused blockchain firm Namada is exploring a partnership with the Cosmos-based Osmosis protocol. In a recent proposal, Namada co-founder Christopher Goes described that the collaboration would produce mutually beneficial outputs for both ecosystems while providing advantages to OSMO token holders, stakers, and liquidity providers.
Namada’s primary aim in partnering with Osmosis is to implement shielded actions on its protocol, allowing users to maintain privacy when using assets across the Cosmos and Ethereum ecosystems. This feature would be indispensable for those trading multiple cryptocurrencies on various platforms, offering enhanced privacy and security.
While the potential partnership holds promising outcomes, it also raises reservations. Namada is a proof-of-stake blockchain without smart contracts or trading activities like Osmosis, which could limit their collaboration. Furthermore, the Osmosis community has not yet thoroughly evaluated the proposal.
If the collaboration proceeds, it could result in Namada contributing continuous funds to the Osmosis Grants Program, which finances mutually beneficial projects. Working alongside the Osmosis team and community, Namada would then endeavor to develop an upgraded version of the Osmosis frontend with enhanced user experience in performing shielded actions.
The Anoma Foundation, a non-profit organization associated with Namada, intends to airdrop a portion of Namada’s staking NAM tokens to OSMO holders. The decision has not been finalized, with the exact timeline and distribution amounts yet to be determined, contingent on the Osmosis community’s feedback.
The future of the partnership remains uncertain, with the ultimate decision lying in the hands of the Osmosis community. In a blog post, Goes appeals for their opinion, stating, “Before committing to this plan, or to specific amounts, we would like to ask the Osmosis community as to what y’all think!”.
Reactions from the community have been scarce, though some early respondents have shown support for the proposal. One Osmosis user, Leonoor’s Cryptoman, believes the community would back the airdrop, provided it originates from a legitimate project. They also suggest directing funding proposals through the Osmosis Grants Program (OGP) rather than relying on community pool fundings as the latter is now considered a dated approach.
In conclusion, while the collaboration between Namada and Osmosis could lead to innovative advancements in privacy and asset handling within the blockchain space, a few stumbling blocks must be addressed. The Osmosis community’s response will serve as an essential determinant in deciding the partnership’s future.
Source: Cryptonews
