Another top student in the Cosmos ecosystem? A quick look at Initia’s VIP program

Author: NingNing Source: X, @0xNing0x

After reading the blog of the Initia VIP (Vested Interest Program) program, I felt a sense of sympathy.

With the end of the Rolllup infrastructure and the rise of AppChain, the Web3 industry has entered an era of block space surplus, and the supply economics pursued by the Ethereum community has become a bit outdated.

The effectiveness of the previous method of blindly focusing on the supply side, regardless of the quality of the project, even if the project developed has only a single-digit number of users and no growth potential, and mindlessly motivating developers, has been falsified in reality.

Typical Grant programs such as Arbitrum and Starknet have become a symbol of DAO governance corruption and a breeding ground for zombie dApps. As the world enters the new era of Trump, the crypto industry is accelerating its maturity and is about to start the real large-scale adoption of Web3. In such an environment, the industry's alignment has finally shifted from to CZ and to Vitalik to to consumers and to users. The sooner the protocols/projects/developers realize this change, the more they can gain a leading advantage in the new era of large-scale adoption of Web3. As we all know, the Cosmos ecosystem is always one Epoch ahead of the Ethereum community, with Celesita in the modularization cycle and Initia in the chain abstraction cycle. The basic design principle of the Initia VIP program is to rebalance and align the rewards of ecological roles such as AppChain, governance nodes and users, to encourage them to participate in the consensus security and governance of L1 responsibly and consume block space in a benign manner. In terms of specific design, Initia pays tribute to BeraChain's token economic model, perfectly integrating the essence of the industry's two-cycle token economic design experience - Ve (3, 3) and escrow (native token).

Initia has changed the standard paradigm of PoS chain token economics. In addition to using esINST to reward governance nodes, esINST is directly rewarded to AppChain and end users. Initia has specially designed an esINST unlocking mechanism, which requires users to keep their VIP scores above a certain threshold to fully unlock, incentivizing them to continue to actively consume block space. Or users can stake the esINST they receive to L1's Enshrined liquidity pool to enhance the liquidity, interoperability and security of the entire Initia ecosystem.

Summary

Initia wants its native token INST to have the standard currency status of ETH in the Ethereum ecosystem, and also wants to rebalance the interests and responsibilities of governance nodes, AppChain, and end users, while avoiding the separation of the Cosmos ecosystem and the misalignment of incentives in the Ethereum ecosystem.

PS. In fact, this is also the reason why I want to buy the Fat Penguin NFT. I strongly feel that the era of Web3 consumption is coming, and currency speculation is no longer the only application scenario in the industry. The Fat Penguin NFT is the VIP ticket to this new era of Web3.

Of course, it is also a golden shovel to obtain the epic MeMe coin $PENGU and Web3 Disney @AbstractChain airdrop.