Scalability, usability, and interoperability are key concerns that innovative blockchain systems solve. There are also several cutting-edge frameworks being developed that abstract popular technologies like networking and consensus. This enables developers to avoid doing everything from scratch and concentrate on their key business logic. Two blockchain development frameworks, Substrate and Cosmos SDK were created to let programmers build unique blockchain applications. While Substrate is a framework that can be used to create unique blockchains utilizing a range of customizable building pieces, Cosmos SDK enables developers to quickly create custom, scalable, and secure blockchain applications. The State Transition Function of the application can be transformed into reusable modules by both frameworks. However, they have more functionality in their standard libraries.

Let us first understand the basics of both frameworks and then dive into Cosmos vs Substrate

What is Cosmos SDK?

Cosmos SDK is an open-source software development kit for building decentralized applications (dApps) on top of the Cosmos Network. The SDK is written in the programming language Go and enables developers to easily create and deploy blockchain applications that are compatible with the Cosmos Network.

The Cosmos Network is a decentralized ecosystem of independent parallel blockchains, called zones, that are built on top of the Tendermint consensus engine. These zones can interact with each other through the Cosmos Hub, a central hub that acts as a bridge between the different zones and allows for the exchange of data and assets between them. The Cosmos SDK is designed to provide developers with a set of modular and reusable components that can be used to build a wide range of decentralized applications. These components include:

  • A modular architecture that allows for the easy integration of different modules, such as a token module for token issuance and transfer or a governance module for on-chain governance.
  • A built-in governance system that allows for the decentralized management of the blockchain and the participation of stakeholders in decision-making.
  • Support for multiple programming languages, including Go, JavaScript, and Rust, allows developers to choose the most comfortable language when building their applications.
  • A flexible and powerful consensus engine based on Tendermint that provides high performance, security, and consistency.
  • An Inter-Blockchain Communication (IBC) protocol that enables the transfer of data and assets between different zones in the Cosmos Network.

One of the key features of the Cosmos SDK is its modular architecture, which allows developers to add new functionality to their blockchain applications easily. This is achieved by using a “module” system, where developers can select from a set of pre-built modules or create their own custom modules and easily integrate them into their applications. For example, the token module supports token issuance and transfer, while the governance module enables on-chain voting and proposal mechanisms. This allows developers to build complex decentralized applications with a wide range of features while minimizing the amount of code they need to write.

Another notable feature of the Cosmos SDK is its built-in governance system. This allows for decentralized blockchain management and enables stakeholders to participate in decision-making through on-chain voting. This can be useful for a wide range of applications, such as decentralized autonomous organizations (DAOs) and decentralized finance (DeFi) platforms. The Cosmos SDK also supports multiple programming languages, allowing developers to choose the language they are most comfortable with when building their applications. This allows for a wider range of developers to get involved in building on the Cosmos Network, enabling the ecosystem to tap into a diverse talent pool.

The Tendermint consensus engine, at the Cosmos SDK’s core, is a high-performance, secure, and consistent consensus algorithm. It is based on a Byzantine Fault Tolerant (BFT) consensus mechanism, which ensures that the blockchain reaches consensus even in the presence of malicious actors.

What is Substrate framework?

Substrate is an open-source framework for building decentralized applications and blockchain platforms. It is written in the programming language Rust and is designed to make it easy for developers to create custom blockchain applications with a high degree of flexibility and modularity. One of the key features of Substrate is its modular architecture, which allows developers to customize and extend the functionality of their blockchain applications easily. This is achieved by using a “pallet” system, where developers can select from a set of pre-built pallets or create their own custom pallets and easily integrate them into their applications. A pallet is a unit of functionality in Substrate, such as a token or governance pallet.

Another key feature of Substrate is its built-in governance system, which enables on-chain decision-making and allows stakeholders to participate in the management of the blockchain. This can be useful for a wide range of applications, such as decentralized autonomous organizations (DAOs) and decentralized finance (DeFi) platforms. Substrate also includes a runtime module that enables developers to write custom logic in a high-level programming language, such as Solidity, and have it executed on the blockchain. This allows for the creation of custom smart contracts, which can be used to implement a wide range of functionality, such as token issuance and transfer or lending and borrowing.

The consensus mechanism of Substrate is based on the Aura consensus engine, which is a variant of the proof-of-stake algorithm. It uses a validator set, where validators are chosen based on the amount of stake they hold. One of the strengths of Substrate is its flexibility, it can be used to build a wide range of blockchain platforms, from public and private networks to consortium chains and layer 2 solutions, and it’s designed to be highly modular, enabling developers to pick and choose the components that are right for their particular use case. Substrate also has high performance, which means that it uses the libp2p library for peer-to-peer communication, which allows it to handle a high number of transactions per second, making it suitable for a wide range of use cases.

Substrate also offers a range of developer tools that makes it easy for developers to get started building on the platform, such as the Substrate Node Template, which allows for the creation of new blockchain networks with minimal code, and the Substrate UI library, which provides a set of pre-built user interface components for building decentralized applications.

Cosmos vs Substrate: A Comparison between both the frameworks

Cosmos SDK and Substrate are open-source frameworks for building decentralized applications and blockchain platforms, but they have some key differences: 

  1. The Cosmos SDK is built specifically for the Cosmos Network, a decentralized ecosystem of independent parallel blockchains, called zones, built on top of the Tendermint consensus engine. The Cosmos SDK provides developers with a set of modular and reusable components that can be used to build a wide range of decentralized applications, and it includes a built-in governance system, support for multiple programming languages, and an Inter-Blockchain Communication (IBC) protocol that enables the transfer of data and assets between different zones in the Cosmos Network.
  2. Substrate, on the other hand, is a more general-purpose framework for building blockchain platforms. It is written in the programming language Rust, and it is designed to make it easy for developers to create custom blockchain applications with a high degree of flexibility and modularity. Substrate uses a “pallet” system, where developers can select from a set of pre-built pallets or create their own custom pallets and easily integrate them into their applications. Substrate also includes a runtime module that enables developers to write custom logic in a high-level programming language, such as Solidity, and execute it on the blockchain. It uses the Aura consensus engine for the consensus mechanism.
  3. In terms of governance, both frameworks provide a built-in governance system, but Cosmos SDK’s governance system is specifically designed for the Cosmos Network, while Substrate’s governance system is more general-purpose, and it can be used in any blockchain platform. The Cosmos SDK is designed to work specifically with the Tendermint consensus engine, while Substrate is designed to work with various consensus algorithms.
  4. In terms of Interoperability, Cosmos SDK has the Inter-Blockchain Communication (IBC) protocol that enables the transfer of data and assets between different zones in the Cosmos Network, while Substrate doesn’t have such a feature, but its modularity provides the flexibility to include it.

Cosmos and Substrate are strong and adaptable platforms for creating blockchain applications, but they have some significant differences.   While Substrate is focused on offering a flexible and modular framework for creating unique blockchain applications, Cosmos is focused on allowing interoperability across various blockchain platforms. Both platforms allow developers to create a wide range of apps and use cases and provide a number of tools and functionalities. Popular frameworks for creating blockchain apps include Substrate and Cosmos. They feature robust and helpful communities, great customization, and freedom for developers. The criteria and objectives of each developer will determine the optimal project option.

Interested in launching a blockchain using Substrate or Cosmos? DLTStack is a managed blockchain launch service that allows you to launch a blockchain in a few simple steps. Consult the DLTStack team about its applicability to your organization and experience the platform’s distinctive features!

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