What Is Fantom (FTM)? Features, And Tokenomics


Fantom (FTM) is a new and innovative cryptocurrency that plans to improve upon current blockchain technology. The Fantom network uses tokenized staking. So, FTM holders can earn rewards for holding their tokens in the wallet over time.

Price Gain

After announcing the 370 million FTM incentive program, the FTM token started its rise on July 20, beginning at a low of $0.15 and growing to an all-time high of $0.9571.

How Does Fantom (FTM) Work?

FTM is using the shortfalls of other blockchains in the crypto world to scale up. The FTM platform is open-source, decentralized, scalable, and permissionless. This gives it an edge over major blockchains.

Fantom reduces the cost while increasing the performance of DApps through Lachesis. The availability of Opera mainnet allows for the use of smart contracts through Ethereum virtual machines.

In addition, Fantom network is independent. It isn’t affected by performance traffic congestion. The scalability offered by FTM provides each application with a separate blockchain with tokens and tokenomics.

Unlike Ethereum, with a single decentralized machine, Fantom has several decentralized systems interacting with each other. Yet, working independently.

One unique take of FTM is handling Blockchain Trilemma. This is the balance between speed, security, and decentralization that earlier blockchains could not achieve. However, Fantom uses a permissionless protocol to accomplish this.

Fantom’s Vision

Fantom’s vision is to ensure a high-security level and scalability coupled with fast transactions and low cost. The developers of FTM are making a deliberate move towards the digital revolution. Furthermore, it aims to connect and transform more lives in a digital economy through digital assets.

Features of Fantom

The Platform is Cheap, Faster, and Secure

The payments on this blockchain take about one second and cost $0.000001. Furthermore, the proof-of-stake system ensures maximum transaction security.

Staking Rewards For Fantom Holders

When users stake their FTM on the platform, they can gain up to 11.59% APR depending on the FTM tokens staked and the duration.

The FTM holders cannot trade their FTM tokens unless they unstake them first. This takes around seven days.

Fantom Tokenomics

The total distribution of FTM tokens is 3.175 billion. 2.1 billion FTM tokens are actively circulating. The remaining are kept as staking rewards for the FTM holders. Tips are based on governance decisions.

However, the FTM might take two years to have total circulation and distribute all the rewards.

Despite being available on all major exchanges, the creators fear custodial risks. Therefore, they advise people to purchase on the official FTM network.

Scenarios Where FTM Token Can be Used

Fantom token is used on all major networks, including Opera FTM on Fantom’s main net Opera chain, ERC20 platform on the Ethereum network. And BEP2 on the Binance Chain. This token can be used for:

Compensating Validators

Validators taking part in crucial FTM activities such as validating transactions and preventing transaction spam receive compensation in FTM tokens.

Governance Activities

The validators and delegates draw authority to vote on several governance activities. Basically, they include future upgrades, block rewards, technical committees, among others.

The authority to vote depends on the FTM held by the delegate or the validator.

Providing Network Security

FTM works on the Proof-of-Stake mechanism.

With every 1,000,000 FTM tokens held, a validator can earn rewards on a personalized validator node. An FTM can also receive staking rewards by delegating tokens to the validators (Validators earn commission)

This process ensures the security of the FTM network on all fronts.

Staking And Storing Fantom (FTM)

A minimum of 1 FTM is all you require to stake your Fantom token.

1. Install the PWA wallet on your PC or mobile phone.

2. Transfer your FTM to your Opera address

3. Choose from a variety of validators (a reputable one) and stake your FTM tokens.

As of now, the staking rewards stand at 12% APR. This typically changes based on the input of the FTM holders.

FTM tokens are safely stored in its official PWA wallet. Yet, the official wallet supports only the Opera Network FTM.

Fantom (FTM) Price

Currently, Fantom is trading at $0.8463 as of August 31. Its trading volume on exchange is about $1,182,138,875.00

Final Take:

So, in consideration of volatile factors, Fantom’s tilt direction is unpredictable. Therefore, it is advisable to follow the market trends and technical opinions of crypto experts. That is if you want to invest.