Deploy community pool ATOM into Hydro’s Inflow vault

We propose depositing 7M ATOM from the Cosmos Hub community pool into Hydro’s Inflow ATOM vault, where it will be deployed into low-risk DeFi strategies to earn yield.

A portion of the yield will fund development of a zero-fee, Hub-native ATOM LST focused on institutional users, its integration into Hydro’s ATOM Inflow vault and the ongoing expansion of the vault’s strategies, as well as the migration of Hydro’s existing contracts to the Hub. The excess yield will initially be directed toward ATOM burns, with the option to reallocate later if a higher‑impact mechanism is proposed by the tokenomics research firm hired by Cosmos Labs.

The proposal puts a large portion of the idle community pool funds to work. The ATOM “principal” will not be sold and the initial deposit can be reduced through total or partial clawbacks if better uses for the capital are identified. Hub governance retains the ability to independently initiate partial or total clawbacks, at any time, without requiring any cooperation from the Hydro committee or any other individual signers. Fund custody will be transferred to the ATOM-Aligned Apps DAO once it’s launched.

Find the full proposal details on the forum here: https://forum.cosmos.network/t/deploy-community-pool-atom-into-hydro-s-inflow-vault/16549