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Cosmos-based DEX Osmosis hit $1.121 billion in monthly volume during December 2023, based on DefiLlama data.

The DEX’s native token OSMO has surged on the back of increased activity and is currently trading at $1.51, up 121.97% over the past 30 days, based on CryptoSlate data.

It marks the first time the trading volume on the DEX has crossed $1 billion since May 2022, before the Terra Luna collapse, which wiped billions of dollars in liquidity from the Cosmos ecosystem.

Resurgence

Osmosis operates as both a DEX and an automated market maker (AMM) within the Cosmos network. It stands out for allowing users to create and manage their own liquidity pools with customizable parameters.

It operates on a non-custodial infrastructure and is part of the larger Cosmos SDK universe, supporting over 47 chains within this ecosystem. The platform is renowned for its interoperability, facilitated by the Inter-Blockchain Communication (IBC) protocol, and offers an advanced infrastructure for creating native interchain applications and smart contracts.

With the resurgence of bull activity in the crypto markets, many blockchain ecosystems are seeing renewed interest amid new project launches. Cosmos is one of the leading blockchains in terms of investor interest due to its unique technology.

Osmosis has similarly seen a revival in activity amid increased interest in Cosmos and its surrounding ecosystem due to new token launches like Celestia (TIA) and numerous airdrops on the horizon.

Airdrop frenzy

Airdrop farming in the Cosmos ecosystem has been a significant driver of activity in recent weeks, attracting users and contributing to the network’s growth.

At its core, airdrop farming involves users staking specific tokens to earn rewards, with the potential to receive additional tokens in the future. The practice has been increasingly common, and numerous protocols have launched their tokens through airdrops both in the past and in recent months.

This activity is facilitated by the interoperability of the Cosmos platform, which allows for diverse participation and reward mechanisms. Wallets that stake the DEX’s native token OSMO are automatically eligible for many of the Cosmos airdrops.

Airdrops have become one of the main ways Web 3 protocols attract new users and activity by promising future rewards.

The post Osmosis hits $1 billion in monthly volume as interest in Cosmos surges appeared first on CryptoSlate.