Ethereum v. Cosmos endgame begins, which altcoin has potential for 300% gains


  • Ethan Buchman cofounder of Inter-Blockchain Communication (IBC) announced the discovery of a major security flaw affecting all IBC-enabled chains on Cosmos.
  • Crypto hedge funds have increased their purchase of Cosmos in recent weeks as it offers better yield than Ethereum. 
  • Analysts believe Ethereum price is ready for another leg up, eye $1,400 target before explosive breakout. 

Cosmos chains are facing a crisis due to a major security vulnerability in Inter-Blockchain Communication (IBC). The smooth execution of Ethereum’s Merge has brought the two competing blockchains closer in their consensus mechanism and future roadmap. Analysts debate over the bullish potential of Ethereum and Cosmos. 

Also read: Shiba Inu price: Will SHIB price double with 20 million daily token burn?

Ethereum v. Cosmos: Which blockchain is endgame?

Ethan Buchman, co-founder of IBC ecosystem announced a “major security flaw” that impacts all IBC-enabled Cosmos chains, for all versions of the IBC. Inter Blockchain Communication, or IBC, is a trust-minimized data transport layer for communicating between chains. There is an interchain app-layer built on top of IBC. 

The security flaw in question was first noticed after the $100 million cross-chain bridge hack on Binance chain. core developers of Cosmos and Osmosis, two decentralized exchanges, increased their security audits in response to the hack. 

Buchman assured users that all significant public IBC-enabled chains have been fixed. The remaining chains need to patch to two-thirds, once an official patch is released. 

Cosmos and Ethereum have both split from the common blockchain ancestor, Bitcoin. Both have iterated their own respective roadmaps and their endgames have begun to converge on multiple zones. 

Over 50 chains in the Cosmos ecosystem are connected by IBC and smart contracting has found multiple use cases, similar to Ethereum. Simultaneously, Ethereum’s transition to proof-of-stake is similar to Cosmos’ Tendermint. 

Tendermint is a blockchain protocol used to replicate and launch blockchain applications across machines in a secure and consistent manner. Cosmos, Binance Smart Chain and Tezos are a few projects that use Tendermint. As Ethereum and Cosmos approach their endgame, the two blockchains are converging in several zones. The line between appchains and rollups is becoming increasingly thin as the two have similar outcomes, and the two blockchains have adopted different approaches to attain sovereign interoperability. 

Why hedge funds are leaning towards Cosmos over Ethereum?

Modular Asset Management’s crypto hedge fund has been purchasing Polkadot and Cosmos in increasing volume, over Ethereum. According to the fund, Polkadot and Cosmos have stronger suitability characteristics and potential to outperform after the $2 trillion shakeout that hit the crypto ecosystem recently. 

Daniel Liebau, Chief Investment Officer of Modular Asset Management told users in an interview that the fund has increased its purchase of Cosmos through the recent dip in the token’s price. 

Ethereum price has the potential for explosive rally

Experts at financial comparison site Finder evaluated the Ethereum price trend and predicted a massive rally in the altcoin. They argue Ethereum price could pick up bullish momentum in 2023 and 2024 and climb from current levels to previous all-time high of $4,000. Finder’s analysts have set a target of $11,700 for 2030 and a steep climb in the altcoin’s price in the period between 2025 to 2030.

Ethereum price prediction by Finder experts

Ethereum Price Prediction by Finder experts


Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Recommended content


Recommended Content

Editors’ Picks

Is Altcoin Season here as Bitcoin reaches a new all-time high?

Is Altcoin Season here as Bitcoin reaches a new all-time high?

Bitcoin reaches a new all-time high of $98,384 on Thursday, with altcoins following the suit. Reports highlight that the recent surge in altcoins was fueled by the victory of crypto-friendly candidate Donal Trump in the US presidential election.

More Altcoin News
Shanghai court confirms legal recognition of crypto ownership

Shanghai court confirms legal recognition of crypto ownership

A Shanghai court has confirmed that owning digital assets, including Bitcoin, is legal under Chinese law. Judge Sun Jie of the Shanghai Songjiang People’s Court shared this opinion through the WeChat account of the Shanghai High People’s Court.

More Cryptocurrencies News
BTC hits an all-time high above $97,850, inches away from the $100K mark

BTC hits an all-time high above $97,850, inches away from the $100K mark

Bitcoin hit a new all-time high of $97,852 on Thursday, and the technical outlook suggests a possible continuation of the rally to $100,000. BTC futures have surged past the $100,000 price mark on Deribit, and Lookonchain data shows whales are accumulating.

More Bitcoin News
Shiba Inu holders withdraw 1.67 trillion SHIB tokens from exchange

Shiba Inu holders withdraw 1.67 trillion SHIB tokens from exchange

Shiba Inu trades slightly higher, around $0.000024, on Thursday after declining more than 5% the previous week. SHIB’s on-chain metrics project a bullish outlook as holders accumulate recent dips, and dormant wallets are on the move, all pointing to a recovery in the cards.

More Shiba Inu News
Bitcoin: New high of $100K or correction to $78K?

Bitcoin: New high of $100K or correction to $78K?

Bitcoin surged to a new all-time high of $93,265 in the first half of the week, followed by a slight decline in the latter half. Reports highlight that Bitcoin’s current level is still not overvalued and could target levels above $100,000 in the coming weeks.

Read full analysis
Best Forex Brokers with Low Spreads

Best Forex Brokers with Low Spreads

VERIFIED Low spreads are crucial for reducing trading costs. Explore top Forex brokers offering competitive spreads and high leverage. Compare options for EUR/USD, GBP/USD, USD/JPY, and Gold.

Read More

BTC

ETH

XRP