What is Fantom? Definition, History, and Future

Fantom (FTM) is one of the blockchain projects attracting the attention of the crypto community. However, not everyone understands what Fantom is and how it works.

Therefore, in this article, AZcoin will help you learn about Fantom (FTM), from its history, operational structure, and standout features to the future of the project.

What is Fantom (FTM)?

Fantom (FTM) is a decentralized blockchain platform designed to support decentralized financial services (DeFi) and decentralized applications (dApps). The platform uses the Lachesis consensus mechanism, allowing transactions to be confirmed almost instantly and with high throughput.

Fantom stands out for its ability to process thousands of transactions per second at low cost. The platform is compatible with Ethereum, making it easy for developers to migrate dApps to Fantom. Fantom’s ecosystem is expanding with numerous DeFi projects and applications in fields such as supply chain management and healthcare.

History of Fantom formation

Fantom was founded in 2018 by CEO Michael Kong and a development team of blockchain and technology experts. However, the initial idea for Fantom started as a project called Fusion, which was established in March 2018.

After encountering some difficulties in developing the Fusion project, the team decided to split off to create Fantom—a new blockchain platform aimed at addressing the speed and scalability issues of Ethereum and other blockchain projects.

Within a year of its launch, Fantom rapidly developed and was listed on several prestigious exchanges such as Binance, BitMax, and KuCoin. Currently, Fantom holds the 78th position among the top 100 largest cryptocurrencies, with a market capitalization of approximately USD 1.3 billion.

How Fantom works

To better understand how Fantom operates, we need to explore two important concepts: the consensus mechanism and the DAG (Directed Acyclic Graph) structure. Fantom’s consensus mechanism uses a type of consensus called Lachesis, which is designed to improve the scalability and processing speed of the blockchain.

Consensus among nodes in the Lachesis network is ensured through the use of Proof-of-Stake (PoS) and an “anonymous” method. This ensures security and avoids the security issues that Proof-of-Work (PoW) systems face.

Fantom’s DAG structure is designed to separate transaction processing from storage. This allows Fantom to process thousands of transactions per second without encountering the speed and scalability issues that Ethereum or Bitcoin face.

Fantom highlights

Scalability

One of the most outstanding features of Fantom is its scalability. By combining Lachesis and its DAG structure, Fantom can process thousands of transactions per second, far surpassing other blockchain projects like Ethereum or Bitcoin. This allows Fantom to meet the growing demand for the development of decentralized applications (dApps), especially in the finance and DeFi (Decentralized Finance) sectors.

Security

By using Proof-of-Stake (PoS) and an “anonymous” method, Fantom ensures high security for transactions on its platform. This guarantees safety and reliability for users when using decentralized applications built on Fantom.

Openness

Fantom is a completely open platform, allowing anyone to join their network and develop decentralized applications. This fosters a diverse and creative community, contributing to the development of Fantom.

Learn about FTM tokens

Fantom (FTM) can be considered the “engine” for their blockchain platform. The FTM token is used to pay for transactions on the Fantom network and is also used to reward nodes participating in transaction processing.

Technical specifications of FTM token

• Ticker: FTM
• Blockchain: Fantom
• Smart Contract: Updating…
• Token Standard: Updating…
• Token type: Utility Token
• Total Supply: 3,175,000,000 FTM
• Circulating Supply: 2,541,152,731 FTM

FTM token allocation

• Block Rewards: 32.75%
• Private Sale I: 25.35%
• Advisors/Contributors: 12%
• Private Sale II: 11.69%
• Strategic Reserve: 6%
• Seed Sale: 3.15%
• Public Sale: 1.57%

What is FTM token used for?

The FTM token will be used as a payment method for transactions on the Fantom platform, covering everything from transaction processing to fees for deploying decentralized applications. Additionally, FTM plays a crucial role in rewarding nodes that participate in transaction processing on the network.

Where to buy and sell FTM tokens?

Currently, the FTM token is listed on several top best crypto exchanges such as Binance, BitMax, KuCoin, and Gate.io. Users can buy and sell FTM using other cryptocurrencies like BTC, ETH, or USDT. The trading process is typically fast and secure.

In which wallet to store FTM tokens?

Because Fantom (FTM) is built on the ERC-20 standard of Ethereum, storing FTM is similar to storing other ERC-20 tokens. The most popular storage wallets for FTM include MyEtherWallet, MetaMask, Trust Wallet, and Ledger Nano S.

Additionally, users can store FTM in cold wallets like Ledger Nano X or Trezor to ensure the safety and security of their tokens.

What is the future of the Fantom project?

The Fantom project is overcoming the limitations of scalability and processing speed of existing blockchains, providing a completely new platform for the development of decentralized applications. With support from leading technology companies such as Oracle, Chainlink and Binance, Fantom is attracting significant attention from the crypto community.

Additionally, Fantom has signed partnership agreements with major organizations and enterprises such as the Government of Dubai and the South Korean bank KB Kookmin. This helps increase the feasibility and credibility of Fantom in developing its network.

With rapid development and great potential in the future, Fantom (FTM) is predicted to continue being one of the prominent blockchain projects in the times ahead.

The end

In this article, we’ve learned about Fantom (FTM), a new blockchain project with scalability and high transaction processing speed. Hopefully, you now have a general overview of this project. If you have any questions, feel free to contact AZcoin for quick answers. Good luck exploring and investing in the cryptocurrency world!