Cosmos Ecosystem Faces Shutdown Wave in 2025
Several Cosmos-based projects shut down in 2025 due to weak growth, low revenue, and developer exit.
- Multiple Cosmos ecosystem projects shut down in 2025
- Lack of growth, revenue, and developer attrition cited as reasons
- Shutdowns affect key sectors like DeFi, NFTs, and lending
The Cosmos blockchain, once known for its interoperability and innovative ecosystem, is experiencing a downturn. In 2025, a growing number of Cosmos-based projects have officially shut down, raising concerns about the long-term viability of the network.
According to crypto analyst @y_cryptoanalyst, notable projects that have ceased operations include Comdex, Kujira, Evmos, Picasso/Composable, Quasar/Tower, and Stride. These platforms were involved in vital sectors such as decentralized exchanges (DEXs), DeFi, NFTs, lending, and liquid staking tokens (LSTs).
Each of these projects brought unique offerings to the Cosmos ecosystem but ultimately faced insurmountable challenges.
Why Are Cosmos Projects Shutting Down?
The common theme behind these closures is a combination of low user growth, insufficient revenue, and a decline in developer activity. While the broader crypto market has been in a recovery phase, these projects failed to gain significant traction or sustain meaningful innovation.
For instance, despite early momentum, some platforms couldn’t keep up with competitors on other chains like Ethereum or Solana. Others struggled to monetize or expand their user base, leading to a loss of developer interest and, eventually, shutdown.
The decentralization ethos of Cosmos also makes it harder to centrally coordinate resources or marketing efforts, which may have hurt visibility and growth for smaller or newer projects.
What This Means for the Cosmos Ecosystem
The wave of shutdowns doesn’t mean the end for Cosmos, but it does raise red flags. These closures reflect deeper structural issues within the ecosystem—like limited network effects and fragmented liquidity.
Going forward, the Cosmos community may need to rethink how it supports builders and incentivizes innovation. Stronger funding, better user onboarding, and ecosystem-wide collaboration could be key to preventing further losses.
If Cosmos wants to compete with ecosystems that have tighter integration and more aggressive funding (like Ethereum L2s), it must evolve—fast.
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- Cosmos Ecosystem Faces Shutdown Wave in 2025
