Last May witnessed one of the most dramatic events in the cryptocurrency ecosystem. In the space of a few days, billions of dollars were lost in the Terra Luna ecosystem. After this fall, many teams had to find a new blockchain to develop their ideas. This is notably the case of Delphi Labs, which had to find a replacement for Terra Luna.
Delphi labs: the knowledgeable hand of delphi digital
Delphi Digital is a company that specializes in research in the cryptocurrency ecosystem. As such, it provides state of the art research reports for various prominent players in the field.
In practice, Delphi Digital has several branches, each with its own specialties. Among them, we find Delphi Labs. In practice, Delphi Labs is the research and development office of Delphi Digital.
“Our team aims to change the crypto landscape by building with quality teams, and incubating protocols shaping the future.”
Building the post terra luna
Originally, Delphi Labs’ teams were focused on developing new protocols on the Terra Luna network.
Obviously, following the collapse encountered by the project last May, Delphi Labs teams had no choice but to find a new ecosystem.
“Terra’s collapse demonstrated the potential drawbacks of building on a bad platform. We wanted to make sure we took our time, learned our lessons and made the right choice about how to focus our efforts going forward.”
To find their new ecosystem, they conducted an extensive review of the leading L1 and L2 solutions. All of their findings were compiled in a study released on September 8.
Their study covered many criteria. These ranged from scalability, to consensus model, to opportunities in the field of SRM.
Cosmos: big winner in delphi labs study
Given the hype around The Merge and the volumes recorded, Ethereum could have been a prime candidate for Delphi Labs. However, their study did not result in this outcome:
“After reviewing the options, we decided that our best path was to focus our research and development efforts on the Cosmos ecosystem.”
Thus, Delphi Labs envisions the future of cryptocurrencies on an ecosystem that has a multitude of blockchains with specialized applications. These being interconnected by bridges with minimized trust. So many parameters that make Cosmos a perfect candidate for Delphi Labs.
“At the same time, we believe Cosmos is decentralized enough to offer strong guarantees of security, liveliness and resistance to censorship. Particularly compared to many of the alternatives we’ve considered, which are newer and therefore present more vectors for centralization.”
Other entities are making the choice to take the step into the Cosmos ecosystem. For example, last June, the decentralized exchange platform dYdX unveiled its plans to migrate to the Cosmos ecosystem.