Chasing the Modular Blockchain Narrative

Modular money. Crypto tokens pared back this week’s gains on Friday morning. Bitcoin and Ethereum both fell 2-3%. BONK's ridiculous breakout surge calmed Friday morning as well, staying relatively flat alongside SOL. It wasn't all yawns this AM, however, as investors capped off a bullish week for modular blockchain products and dapps with even more action.

Amid the slump in markets this week, Cosmos ecosystem DEXs have been a clear out-performer.

DEX volumes on Osmosis for the month of December are on-track to set a bear market high! To complement the increasing volumes, OSMO closed out the week up 70%. Volumes on Injective, a leading Cosmos perpetuals platform, have also pumped hard this month, reflected by the 76% increase in the price of INJ over the past seven days.

Staking to secure Cosmos chains has come into vogue as a potential strategy to hunt the ecosystem’s airdrops, another factor that could be increasing the marginal demand for tokens like OSMO and INJ.

While possible that stakers to networks like Celestia will receive airdrops in exchange for providing services to projects, the pathway to an airdrop for DEX and perpetual platform stakers seems less clear, as there is no dependent relationship between the projects.