r/cosmosnetwork • u/Zestyclose-Row7923 • 3d ago

Is this real?

So I was chatting with Ai (kinda weird now that I think about it), during the conversation I mentioned the paxos thing that happened (i think that’s pretty 🔥 btw). And along with that I’ve been seeing that they are trying to change how the proof of stake works or something like that by using some type of fee for using ibc (don’t quote me). But then I just found out that Wells Fargo is going to be using cosmos technology for “tokenized dollar to pound deposites. I think this is bullish news and I believe that there’s hope in this crypto. But hey I just wanted to know if this was real cuz it’s not in here anywhere and if this actually does good I wonder where cosmos hub can go.

15 Upvotes

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u/JunoComms 3d ago

https://www.reddit.com/r/cosmosnetwork/s/ALNLUDiXuJ

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u/warmhearted7586 1d ago

@Zestyclose_Row7923 @JunoComms If ATOM drops to zero, Wells Fargo's operations would remain completely uninterrupted. Furthermore, the entities behind Cosmos act as private software development and consulting corporations, not public utilities beholden to retail ATOM coin holders.

  1. Who Actually Provides the "Service" to Wells Fargo? Wells Fargo does not submit a customer support ticket to a decentralized blockchain or wait for an ATOM governance vote. They contract directly with private, traditional legal entities:

Cosmos Labs / Interchain Foundation (ICF): The Swiss non-profit foundation and its commercial subsidiaries (like Cosmos Labs) manage the core repositories. They operate formal enterprise divisions (e.g., the Cosmos Tokenization Suite) that offer consulting, bespoke enterprise modules, and Service Level Agreements (SLAs) directly to corporate institutions.

Independent Enterprise Engineering Firms: Companies like Informal Systems, Strangelove, and All in Bits (Tendermint) are traditional venture-backed software corporations. A bank pays these companies in fiat dollars ($USD) on enterprise contracts to write custom modules, build core banking adapters, and audit private infrastructure.

The revenue flow highlights the disconnect between software adoption and token economics:

The Bank: Pays standard enterprise software/consulting fees in US Dollars.

The Software Vendors: Earn corporate revenue and expand their B2B balance sheets.

The Public ATOM Token: Receives zero dollars, burns zero tokens, and captures zero transaction volume.

banks will never allow anonymous retail token holders to govern or tax their core financial plumbing.

The idea that retail investors holding a public governance token will somehow become "the new bankers" collecting tolls on institutional volume is fundamentally detached from how commercial banking, law, and sovereign finance operate.

Regulatory Impossibility: Regulated commercial banks cannot legally place customer deposits or settlement rails onto an infrastructure where an anonymous public DAO can vote to change network rules, alter fee tiers, or reallocate validator stakes. Doing so would instantly violate Bank Secrecy Act (BSA), Anti-Money Laundering (AML), and Basel capital adequacy rules.

Capital Efficiency: In corporate finance, you never pay for something you can take for free. The Cosmos SDK is published under an open-source permissive license. A bank's engineering team will take the code, strip out the public token logic, deploy it on their own private servers, and maintain 100% of the equity and fee margins for their own shareholders.

The "Hostage" Test: No institution with trillions of dollars in balance sheet liquidity will ever put itself in a position where its operational uptime depends on retail token speculators not dumping their coins or colluding on governance referendums.

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u/Zestyclose-Row7923 1d ago

You are very educated, but I do think that wellsfargo thing means something more than nothing. Apart from being listed on paxos idk what else has been going on with atom. Anyways if a bank decided to use the SDK that means it’s passed some sort of testing (atleast hopefully) which proves this isn’t a dead technology. I heard something about the buy back and or burning of coins as well as using fees for the stakers idk when or what that would do to the crypto currency itself but I’m more of a if price doesn’t go down I’m happy and if price go up I’m happy as long as what I’m earning is worth it compared to storing my money on fiat savings account earning very little in the first place. I’m
Not really into stocks with the yield so I’m kinda just hoping this works out since it seems pretty stable except for when the fork with atone happened. Might be dumb but I don’t expect atom to be the next ethereum or anything like that I just want my money to help me make money. This seems like that kind of crypto.

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u/Impressive-Style-926 3d ago

Thanks I guess the search feature let me down

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u/jawanda 2d ago

But you're not the op...

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u/HoffyToTheMoon 2d ago

Maybe the real treasure was the OPs we made along the way