Osmosis and Umee DEXes Merge to Boost Cosmos Ecosystem

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In a significant development within the Cosmos ecosystem, Osmosis, the largest decentralized exchange (DEX) by trading volume, is set to merge with Umee’s cross-chain lending UX Chain. This strategic move aims to enhance the capabilities of both platforms and create a more robust decentralized financial ecosystem. As part of the merger, UX Chain will undergo a code transition to align with the Osmosis Blockchain, seamlessly integrating liquidity, total value locked (TVL), and functionality into the Osmosis ecosystem. This alignment will pave the way for a more streamlined and efficient decentralized exchange.Following the merger of the product code bases, a governance proposal will be presented to the community, seeking their input on the next steps in tokenomics management. The UX token, an integral part of the UX Chain, may play a crucial role in applying mesh security, shared security mechanics, or new tokenomic designs. Community involvement is emphasized as an important aspect of shaping the future of the merged ecosystem.The merger brings together UX Chain, previously known as Umea, as a cross-chain DeFi hub on the Cosmos network, and Osmosis, which operates as an inter-blockchain communication protocol for Ethereum and Polkadot while also serving as a DEX within the Cosmos ecosystem. This integration is expected to expand Osmosis’ offerings, providing users with a comprehensive suite of financial tools and services.Osmosis initiated the merger proposal, citing its position as the dominant DEX in the Cosmos ecosystem and highlighting UX Chain’s prominence in the lending sector. The collaboration is seen as a catalyst for propelling the Total Value Locked (TVL) of both protocols to new heights, with the potential benefits of mesh security in the evolutionary trajectory of blockchain networks.The collaboration between Osmosis and UX Chain holds promising prospects for the Cosmos’s native ATOM token. The performance of OSMO and UX tokens has seen notable increases in recent times, with OSMO’s price reflecting a 30-day 70% surge. The successful execution of the merger could contribute to an even higher market cap position for ATOM, aligning with the positive trends observed in the performance of the involved tokens.

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