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CosmWasm

CosmWasm smart contracts on THORChain (App Layer overview)

THORChain now supports CosmWasm smart contracts directly on the base chain. This is called the App Layer and was introduced with SDK V50 (V3.0). Contracts are written in WebAssembly (Wasm), most commonly using Rust.

How it works

  • CosmWasm runs inside THORNode through the x/wasm module.

  • Contracts are permissioned: only approved code and deployers can be whitelisted for mainnet.

  • All contracts are tested on stagenet before release.

  • Nodes can pause contracts or the entire app layer if needed (via Mimir).

Supported assets

  • Native RUNE and L1 assets (BTC, ETH, ATOM, etc.) can be used.

  • Secured Assets (e.g. btc-btc) are wrapped forms of L1s managed in THORChain’s state.

  • TokenFactory assets (“X assets”) can be created by contracts.

Trade assets (deposit slips) are not supported as contract-moved tokens.

Security model

The App Layer is sandboxed from the base layer:

  • Contracts have no special privileges beyond a normal THOR address.

  • They can send, swap, or call other contracts, but cannot touch vault logic.

  • If an app fails, the base chain remains secure.

Why it matters

  • Developers can build DeFi apps directly on THORChain (orderbooks, perps, stablecoins, lending, etc.).

  • Apps can share fees with THORNodes to pay for the security they use.

  • Users interact with apps natively from L1 wallets — no wrapping or bridges.

Learn more

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