According to an announcement made on December 4th, Cosmos-based ecosystems Umee and Osmosis will merge with a software update. The UX Chain code of Umee will be implemented within the Osmosis ecosystem, combining the features of both chains and creating a DeFi Hub within the Cosmos ecosystem.
Umee stands out as a decentralized credit protocol working on its customized Cosmos ecosystem UX Chain. On the other hand, Osmosis is one of the largest decentralized exchanges (DEX) within the Cosmos ecosystem, serving Cosmos users on its separate chain.
According to the data from Blockchain analytics firm DeFiLlama, Osmosis has an accumulated volume of over 23 billion dollars and is the fourth-largest Cosmos chain in terms of Total Value Locked (TVL).
In the announcement made on December 4th, it was stated that the development teams behind the protocols have agreed to merge the two chains, enabling the coexistence of the credit application and DEX on the same chain.
With this move, the teams will provide users with access to advanced features that were previously inaccessible, including spot margin trading, yield farming, liquidations, stablecoin pools, cross-chain instant loans, MEV markets, and other services. Although a specific date for the merger is not mentioned, officials urge users to stay alert for further updates. CEO Brent Xu mentioned that the Umee UX Chain (UX) token will remain in circulation and the development team will make a proposal and call for community input on how to manage the UX token.