Namada said its Swiss-based non-profit arm, the Namada Foundation, will be responsible for issuing the NAM tokens that will be air-dropped to OSMO holders.
Namada Blockchain, a privacy-centric protocol built on the Cosmos network, is looking to solidify its presence in the industry with a partnership with Osmosis (OSMO). As reported by Coindesk, Namada co-founder Christopher Goes explores a jointly-funded grants program to fund software “public goods”.
The proposal will also involve airdropping NAM tokens to current Osmosis holders, a move that will form a nearly unbreakable bond between the two protocols. Namada plans to push these partnerships ahead of its official mainnet launch.
The proposal is best labeled as mutually beneficial for Namada and Osmosis, and while it will help give Namada a ready-made community, OSMO holders will gain more financially in the long run when the airdrop is complete.
As Goes described, the proposed grant program will fund numerous research initiatives with a particular focus on privacy-centric solutions and development projects. These potential projects will benefit the Namada and Osmose protocols respectively. As a first demonstration of legitimacy, the grant program, according to Goes, will be funded by Namada, however, Osmosis is expected to support in the best way as well.
Collaborations between the duo will also see the use of Namada’s Shielded Actions technology to protect tokens on Namada when not actively in use on Osmosis.
“It would be pretty boring if you only had assets and you couldn’t do anything with them,” Goes explained. “So we expect people to want to go to Osmosis and decentralized exchanges on other chains to trade their assets,” he added.
As part of the proposed partnership considerations, Namada said its Swiss-based non-profit arm, the Namada Foundation, will be responsible for issuing the NAM tokens that will be air-dropped to OSMO holders. .
Namada and Osmosis connection: possible chronology
Namada’s push to partner with Osmosis will not come without significant hitches. One such setback is Osmosis community pre-approval, as the partnership request will still be subject to a robust governance vote.
That Osmosis Labs controls the affairs of the blockchain does not mean that the leaders make all the crucial decisions. Community input is very crucial, and although the community has a lot to benefit from, there is no guarantee as to the outcome of the vote.
Based on the apparent complications, there’s no idea what the timeline for the collaboration will be. From its history, however, the chances of success with the Osmosis community are high, given that Namada signed a similar partnership with privacy layer 1 protocol Zcash in April this year.
Benjamin Godfrey is a blockchain enthusiast and journalist who loves to write about real-world applications of blockchain technology and innovations to drive mainstream acceptance and global uptake of emerging technology. His desire to educate people about cryptocurrencies inspires his contributions to renowned blockchain-based media and sites. Benjamin Godfrey is a sports and agriculture enthusiast.