Osmosis, the Cosmos-based interchain automatic market maker (AMM), recently announced the launch of the Osmosis Grants Program.
Created following a successful on-chain governance vote, the Osmosis Grants Program “funds community-built tooling and infrastructure to grow the long-term utility of Osmosis and increase its user base.”
The grants program also “funds decentralized finance projects that build on the Osmosis AMM.”
Sunny Aggarwal, Co-Founder of Osmosis Labs, stated:
“Our community has made Osmosis the leading DEX of the Cosmos ecosystem. By investing in our greatest asset, the Osmosis network, and interchain DeFi broadly, will grow even faster.”
Reverie is the creator and manager of the Osmosis Grants Program and “is in charge of reviewing applications and providing grantees with support.”
Applicants can apply for funding on the dedicated site “for the Osmosis Grants Program.”
Anything that benefits Osmosis or its community “will qualify for review.”
Categories the program has outlined for potential grants reportedly “include apps, analytics, tooling, infrastructure, governance and education, but the grants program manager welcomes all beneficial ideas.”
Contributors can apply for funding “between $5,000-$500,000, streamlining funding for initiatives otherwise too small for on-chain governance proposals.”
The budget for the first six months of the program “is 1,500,000 OSMO tokens, worth approximately $4.4M at the time of publication.”
Thereafter, the budget “is up to 750,000 OSMO tokens per quarter.” The budget “will be subject to a quarterly review by the Osmosis Grants Program Committee.”
The pool aims “to invest about $1 million a month in two broad categories.”
The first “is community-focused tooling and infrastructure, where grants will improve the user experience and security of the Osmosis AMM.”
These grants will “fund projects that directly improve the AMM, like analytics and staking infrastructure, as well as ecosystems complementary to Osmosis, such as DeFi apps, synthetic assets and gaming projects that require an AMM with high liquidity.”
The second category aims “to establish the OSMO token as the interchain’s reserve currency by funding projects building dApps on Osmosis’ Layer 1.”
These could “include financial applications, games, and other use cases leveraging the core Osmosis stack.”
Builders interested in creating value for Osmosis and its larger ecosystem “can visit Grants.Osmosis.Zone to learn more about the program and apply for a grant.”
Reverie aims “to provide applicants responses in one to two weeks and will dedicate a Program Lead to each project.”
As mentioned in the update, Reverie works closely “alongside protocol teams to assist with “product strategy, hiring, legal, growth, and progressive decentralization.””
As noted in a release, Osmosis is “an advanced Automated Market-Making (AMM) protocol focused on privacy, AMM design, and the rapidly expanding interchain.”
Privacy is “a fundamental right, and to protect users from MEV (‘Miner’ Extractable Value), Osmosis is developing cutting-edge techniques to encrypt transactions in the mempool and assure fair execution without frontrunning.”
In the AMM design space, Osmosis “is delivering optimal trades through innovating new models of market-making curves, batch execution, and deep liquidity, incentivized through a novel LP-bonding system.”
The assets underlying these bonded LP shares “will soon be able to secure their respective blockchains in a process called superfluid staking, earning additional rewards and further fostering the explosive growth of the Internet of Blockchains.”
As the interchain grows, Osmosis will continue “to provide it with a cross-chain UX that is fast, intuitive, and fun.”
More than one billion dollars has reportedly been “deposited into Osmosis liquidity pools, and over twenty chains have connected to the chain.”
With the upcoming addition of permissioned smart contracts to the platform, the Osmosis chain will be able “to aggregate yields, borrow and lend, and compose with contracts on other chains. Interchain DeFi has arrived.”