All in Bits, a firm headed by Cosmos co-founder Jae Kwon, is preparing to launch its new GovGen blockchain and token on Feb. 27, ahead of the Cosmos Hub AtomOne fork.
The launch will include the genesis distribution of the “GovGen” token to Cosmos Hub stakeholders who previously voted “no” or “no with veto” to prop 848, a proposal to lower inflation of the ATOM token to 10%. This token will purportedly be strictly used for voting and won’t be transferable.
1/ As you may know, the GovGen governance-only chain intended to help shape the outcome of AtomOne is planned to launch on Tuesday, February 27, 2024, at 6 a.m. PST (2 p.m. UTC). This thread will cover highlights, but please read the full article here:https://t.co/6c78tbU2Sx
— All in Bits (@Allinbits_inc) February 24, 2024
Cosmos Hub
Essentially, two camps have arisen in the world of Cosmos Hub after prop 848 passed with a slim majority of 73,165,203 ATOM allocated to “YES” versus 56,667,011 ATOM allocated to “NO” plus 11,669,549 ATOM to “NWV” (No With Veto).
The first camp appears to have rallied behind Cosmos co-founder Ethan Buchman and popular organizations such as ZKV who supported prop 848.
We voted YES on @cosmos Hub Prop 848----This seems to be a controversial proposal, but in our view, it shouldn't be!The Cosmos ecosystem is maturing, and inflation economics need to mature too. Double digit inflation is not necessary for security, weakens ATOM price long…
— ZKV (@zkv_xyz) November 17, 2023
The second camp has evidently rallied behind Jae Kwon and leading groups such as Allnodes who voted against the proposal.
We voted NO on $ATOM prop #848 not only because it overlooks the importance of small validators and could centralize the ecosystem. Lowering inflation isn't a way to boost token value. Quick, untested changes could harm network integrity. Long read with reasoning 1/3
— Allnodes (@Allnodes) November 19, 2023
In the wake of the disagreement, the second camp will fork the Cosmos Hub blockchain on Feb. 27 and govern the new fork via the coalition of AtomOne stakeholders with GovGen, a sidestrapped blockchain and token.
It’s unclear exactly what the distribution of GovGen tokens will look like. The first 10% has been preallocated to governance costs and the rest will be split among ATOM holders with voting power, though those who voted “NO” or “NWV” are slated to receive more than “YES” voters, ostensibly giving them the majority power for decision making.
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According to a GitHub post from the AtomOne team, this move was at least partially made for political purposes:
“These and prior disagreements have now made clear the need for an alternative hub with a renewed focus and Alignment to serve as the canonical minimal IBC/ICS token hub with respect to Cosmos to champion the ideals of sovereignty, security, and decentralization everywhere; and secondarily to serve as the main base for a political party and more-intelligent voting bloc with respect to Gaia to save Gaia from itself.”
Jae Kwon on X
In related news, Jae Kwon’s personal X account has apparently been blocked by the social media network for violating TOS. On Feb. 24 the account associated with Jae Kwon, @jaekwon, posted that they would be using a new account, @donkeykwon, for personal communications.
Going forward @donkeykwon will be my personal Twitter, and @jaekwon will remain the crypto-focused Twitter that is shadowbanned. ;)
— donkeykwon (@jaekwon) February 24, 2024
Just three days later, as of the time of this article’s publication, the @donkeykwon account is no longer accessible.
Image source: screenshot X.com, Feb. 26
