Fantom is a blockchain with smart contract functionality designed for high throughput and scalability. Its open-source, decentralized platform supports dApps and digital assets which need higher levels of scalability, security and decentralization than Ethereum can offer.
FTM is the native token of the Fantom network, which can be used to interact with dApps. In addition, it also supports staking and governance functions within the Fantom ecosystem.
Fantom is not only a smart contract platform that can run decentralized applications but it also offers users a convenient way for users to send and receive payments. The high throughput and low transaction fees make transactions extremely efficient on the Fantom network.
Due to its unique features, Fantom is an attractive ecosystem for dApps, especially in the DeFi space. As of February 2023, Fantom is the eighth largest blockchain ecosystem by total value locked in DeFi protocols.
The Fantom network uses a proof of stake (PoS) consensus mechanism. FTM, its native digital asset, is used for staking by nodes who wish to participate in validating transactions within the blockchain and maintain its security.
The Fantom Coin also doubles up as the governance token within the blockchain ecosystem. Users who stake FTM can propose and vote on upgrades to the network.
In addition, the FTM crypto can also be used for making digital payments and transactions. The Fantom network offers extremely high speeds for transaction processing and charges only about $0.0000001 in gas fees, making it a convenient way to transfer payments digitally.
The FTM token is also used to pay for transactions within the network and for deploying smart contracts. Users also pay in FTM when they wish to create new networks within the ecosystem.
The list above reveals the versatility of the Fantom cryptocurrency, as a result of which it is also among the most popular and liquid digital assets traded in the crypto market. If you wish to invest in FTM, do check its live price and rely on fundamental, technical and sentiment analysis of Fantom price action before placing your trades.
The Fantom Foundation, the firm behind the development of the blockchain, was established in 2018 by Dr. Ahn Byung Ik. Fantom’s mainnet, Opera, went live in December 2019.
Opera was the first layer in the network, an EVM-compatible platform that can support smart contracts. Prior to the main net launch, Fantom also announced an integration with Binance Chain so BEP-2 tokens could operate on its blockchain.
The Fantom Foundation created a brand new consensus algorithm using a Directed Acyclic Graph (DAG) with an aim to achieve asynchronous Byzantine fault tolerance (aBFT). Known as the Lachesis protocol, the consensus mechanism makes the Fantom network faster and more scalable.
To further its dominance in the decentralized finance space, the Fantom Foundation tapped Andre Cronje - creator of Yearn Finance, as a technical advisor. Cronje was instrumental in driving interoperability-related initiatives but has since stepped back from his role when he announced his departure from Defi in early 2022.
Fantom’s FTM is a relatively new entrant into the world of cryptocurrencies but has managed to capture the attention of many investors in this short span of time. In 2020, the FTM price rose by almost 60% while 2021 saw the Fantom price soar by over 13,700%.
Fantom was one of the top performers of the crypto market in 2021 on the back of its rising popularity among DeFi protocols, with the FTM price and market cap soaring through the crypto bull run of 2021. In addition, the Fantom Foundation’s initiative to make the ecosystem supportive for BEP-2 and ERC-20 tokens also caught the eye of crypto investors.
The Fantom price hit an all-time high of $3.48 on 28 October 2021 and has enjoyed a place in the top 50 cryptos by market cap. Even through bearish cycles and stiff competition, FTM has managed to enjoy high trading volume.
Looking ahead, the FTM price could make further gains and provide strong ROI to its investors on the back of rising adoption of DeFi protocols among users. Increasing Fantom’s interoperability features can also make the FTM crypto an attractive digital asset to invest in.
The FTM token is the native cryptocurrency that can be used on the Fantom Opera mainnet. In addition, the circulating supply of FTM consists of two other forms as well - as ERC-20 tokens and as BEP-2 tokens.
The ERC-20 Fantom token cannot be used directly on the Opera network and needs to be swapped so that it can be used within this ecosystem. While Fantom Opera uses a structure similar to that of Ethereum for wallet addresses, they do not function in the same way.
You can bridge FTM from Ethereum to the Fantom network using DEXs and multi-chain bridges, e.g., Multichain.org. Let’s look at how to transfer FTM from Ethereum mainnet to Fantom Opera with Multichain.org:
1. Create a MetaMask wallet and fund it with sufficient FTM (ERC-20) and ETH tokens to pay gas fees. Ensure that your Network is set to Ethereum Mainnet (default).
2. Visit Multichain.org and connect your MetaMask wallet to its interface.
3. Once your wallet is connected, select the FTM token and Ethereum network in the From section. Add FTM and Fantom in the To section in the Multichain.org page.
4. Enter the number of FTM tokens you wish to bridge from Ethereum to Fantom and click on Swap. Confirm the swap transaction on Multichain.org and MetaMask.
5. A couple of minutes later, your MetaMask account will be funded with FTM tokens on the Fantom Mainnet.
FTM is not available for staking on cryptocurrency exchanges as of April 2022. You can only stake FTM from the Fantom fWallet at the moment. Here’s how you can stake $FTM using Fantom fWallet
1. Create a Fantom fWallet and fund it by buying FTM on KuCoin or other supported platforms and withdrawing your tokens into it.
2. Use the Staking option in the menu bar and select Delegate.
3. Enter the amount of FTM tokens you wish to stake, starting from a minimum of 1 FTM.
4. Select a validator from the dropdown list to find an active validator you can stake your FTM to and then get started. Validators are eligible to receive 15% of the staking rewards you earn as a delegator.
5. Sit back, earn rewards, and grow your crypto holdings by staking FTM.
The Fantom Opera network enjoys full EVM compatibility, which means it can support Ethereum smart contracts written in Solidity or Vyper. In addition, it has also integrated with Binance Chain to support BEP-2 tokens within its ecosystem.
Fantom is also compatible with Cosmos SDK, letting developers use its aBFT consensus mechanism as a base layer to create applications using the Cosmos SDK.