HomeGUIDEWhat is Fantom crypto?

What is Fantom crypto?

-

Follow us

9,179FollowersFollow

Amidst its inherent volatility, the level of adoption of cryptocurrencies and its related projects have continued to soar. This development paves the way for the industry to rank high amidst other industries across the globe. Worth noting, as people continue to embrace crypto projects, developers and builders are encouraged to launch more innovations and projects, thereby driving the expansion of the industry. As of today, there are thousands of of cryptocurrencies, with many of them running as native tokens of their respective protocols. These protocols usually harness their native cryptocurrencies to power their networks, availing their holders, in most cases, with governance rights. For instance, Fantom crypto (FTM), is the native crypto of Fantom protocol, thereby facilitating the operations on the network.

Occasioned by the general volatility of the sphere, investors are always advised to look before leaping. Today, investors explore cryptocurrencies to achieve different purposes. However, irrespective of how investors use cryptocurrencies, their most popular function is serving as an instrument for payment and investment. Just like other forms of cryptocurrencies, the Fantom crypto remains one of the available crypto assets available for investors to explore within the sphere. With this article, new and existing investors will learn more about the rudiments of the crypto project, its background, protocol and its potential.

General Overview of Fantom crypto

Worth noting, Fathom crypto or FTM runs as a ERC20 token. As a native crypto of Fantom blockchain, it helps to fuel, power and safeguard the network via a proof-of-stake system. More so, Fantom crypto, just like other cryptocurrencies, serves as an instrument for sending and receiving payments. Notably, its holders usually enjoy on-chain governance right, which allows them to participate in any voting process carried out for proposals seeking upgrades and changes on the platform. Beyond this, users also utilize FTM to pay network fees, smart contracts’ deployment fees, transaction fees, and many more.

Further, the Fantom crypto also functions as collateral on the network’s imminent DeFi. Its holders can store the tokens on the protocol’s official wallet, identified as fWallet. With this wallet, users are able to stake, send, receive the crypto. According to findings, FTM possesses a total supply of 3.175 billion tokens, with 2,541,152,731 of the tokens in circulation. 40% of the total token supply were made available for sale at the ICO. The rest are reserved; with 30% for market development, 15% for advisors and contributors, and 15% for Fantom project team members and founders.

Staking Fantom crypto

Holders of fantom crypto are free to stake their asset. By so doing, they acquire FTM tokens as rewards. The protocol of the crypto uses fluid staking model, which enables stakers to select “a lock-in period between 0 and 365 days.” This simply means the higher the lock-in period, the higher the reward percentage they amass in return. Worth noting that there is no minimum or maximum to the amount of Fantom crypto used for staking. A user may decide to stake one token and still earn rewards on it.

An overview of Fantom protocol

The native platform of Fantom crypto runs as a blockchain platform. It offers ledger services to various businesses and applications. According to Fantom Foundation, it functions as “a high-performance, scalable, and secure smart-contract platform.” In its whitepaper, it is established that the platform aims to operate as open-source, thereby allowing anyone to explore and customize it to their taste. Additionally, the whitepaper says Fantom manifested to develop an “infrastructure for a more connected and efficient future so that people can benefit from technological breakthroughs to better the quality of their lives.”

Also, Fantom usually utilize Opera, a secure and rapid environment to develop decentralized applications (DApps). Interestingly, Fantom, according to its whitepaper, possesses the potential to overcome the limitations encountered by previous-generation blockchain networks. Recall that over time, previous-generation networks had faced numerous limitations, particularly its inability to optimize security, speed and decentralization simultaneously. Now, the whitepaper says Fantom overcomes the limitation by actualizing a asynchronous Byzantine fault tolerance (aBFT). This runs as a consensus which alloes transactions to become processed non-simultaneously. With this, the speed and throughput of the network are enhanced.

Lachesis mechanism on Fantom

Meanwhile, every transactions on Fantom transactions are usually validated by Lachesis. This Lachesis runs as a leaderless proof of stake mechanism. More so, every dAPP based on the Fantom crypto protocol runs on their native blockchain network. These networks also benefit from Lachesis consensus mechanism.

Generally, Fantom functions as an ecosystem of technologies and tools. It usually support the aggregation of smart contracts into applications. The protocol helps to run smart contracts rapidly quickly, thereby allowing decentralized applications to attain their full potential.

Founding team of Fantom crypto

Worth noting, Fantom crypto and its native protocol emerged in 2018. The protocol became founded by An Byung IK, a renowned South Korean computer scientist. Ahn initially served as president of the Korean foodtech association. He also developed Siksin, a yelp-like platform.

In 2019, Ahn left Fantom, leaving the protocol under the management of Fantom Foundation, a registered Cayman Islands Corporation. Notably, the foundation possesses a team of over 20 engineers, researchers, designers, scientists and many more. Presently, Michael Kong remains the CEO/CIO of Fantom. Other members of the team include Andre Cronje, David (Architect) Richardson (Director), Samuel Hardcourt (Directtot), Simone Pomposi (CMO), and several others.

Why is Fantom protocol unique?

Fantom is modular

Notably, the native protocol of Fantom crypto enjoys modularity, which allows it to run flexibly. According to its website, “developers can port their existing Ethereum dApps on Fantom Opera mainnet in a matter of minutes, substantially upgrading the performance and lowering the costs.” Lachesis as a leaderless proof of stake mechanism “represents one layer, the consensus, of the blockchain technology stack and can be plugged into any distributed ledger.” It powers Fantom’s Opera mainnet deployment, that uses the Ethereum Virtual Machine (EVM) and it’s compatible with Ethereum.

Fantom runs as an open-source protocol

Worth noting, the Fantom team usually build blocks for anyone to use and customize to their needs. This thus makes the platform an open-source and available on Github.

Fantom is open-participation

Fantom is permissionless and allows for open participation. Remarkably, Fantom’s Opera Chain allows for an unlimited number of validator nodes to participate in securing its network. However, the participants must keep a minimum of 1,000,000 FTM at stake. Although any user with lower amounts of the Fantom crypto still enjoys the chance to also participate in securing the network. They only need to delegate a minimum of 1 FTM to a validator node, and get rewarded

Integrations by Fantom

Over time, Fantom crypto and its protocol has integrated numerous oracles and other projects to aid its offering. Recently, it integrated Chainlink, a decentralized oracle network. This collaboration manifested to “build secure and scalable DeFi products like decentralized stablecoins, lending protocols, and synthetic assets.” Occasioned by this integration, every developers building on Fantom now access Chainlink’s oracle infrastructure. Also, the integration enables Fantom ecosystem to combine “tamper-proof real-time data for on-chain and off-chain assets from trusted sources.”

More so, Fantom crypto and its protocol integrated Band Protocol. This integration helps its developers to benefit from trustworthy on-chain and off-chain data. Today, Band oracles runs live on Opera mainnet, “providing critical data feeds for stablecoin minting, lending/borrowing, and trading of synthetic assets on Fantom Finance.”

Furthermore, it also integrated Covalent to bring about world-class API and indexing solution to developers on its network. Through Covalent’s Unified API, developers access “deep, granular, and historical Fantom blockchain data, including historical transactions per address, decoded log events, and much more.” This data helps to drive chain analysis and helps “builders effortlessly repurpose their technology from Ethereum to the Fantom ecosystem.”

Fantom’s recent partnerships

Beyond numerous integrations, Fantom has also indulged in numerous partnerships with crypto exchanges and other institutional actors. Recently, it partnered popular crypto exchange, Crypto.com. The partnership manifested to allow users purchase its fathom crypto with USD, EUR, GBP and 20+ fiat currencies on the exchange’s app.

Also, it partnered Travala, a blockchain-based travel booking platform. Occasioned by this partnership, holders use their Fantom crypto to book over 3,000,000 travel products across the globe. This thus boost the adoption level of the crypto. Additionally, the collaboration empowers holders of Fantom crypto to participate in a more inclusive travel economy. Similarly, Fantom partnered Ethereum Classic Labs to use ETC as collateral on Fantom Finance. With this, Fantom “advances its mission to build an open and crypto-agnostic DeFi ecosystem.”

Future of the project

Undoubtedly, both Fantom crypto and it’s protocol has proven to be an established project on the cryptocurrency space. Against all odds, both the protocol and token are pushing forward towards earning more polarity. It’s noticeable that this push has been making positive progress lately, convincing investors to commit their funds. This increasing attention has impacted the project positively while helping its performance against emerging competition. If the project continues at the pace it has started with, definitely there are positive pointers investors should take note of. These positive are directly related to the future of Fantom ecosystem and it’s crypto.

Read More :

Olaleye Komolafe
Olaleye Komolafe
Olaleye is a professional reporter with vast experience in web3, cryptocurrencies, and NFT journalism. He enjoys writing about the evolving metaverse sphere and the prevalence in the crypto sphere. Notably, some of his contents have been published in numerous international publications. Away from the crypto world, Olaleye is a political scientist and a lover of football

Most Popular