Daniel Ejiofor Follow Apr 26
· 9 min read
Solutions offered by Fantom
A new model based on the Directed Acyclic Graph (DAG) was created to overcome these ongoing difficulties.FANTOM is a novel DAG-based Smart Contract platform that aims to address existing public distributed ledger technologies’ scalability difficulties.By attempting to use a better version of current DAG-based protocols, the platform hopes to set itself apart from standard block ledger-based storage architecture.To maintain consensus, the FANTOM platform uses a new protocol called the “Lachesis Protocol.” This protocol is meant to be used in conjunction with the Fantom OPERA Chain.
The goal is for all users to benefit from quick transactions and near-zero transaction costs in applications built on top of the FANTOM OPERA Chain.
Consensus Algorithm
The consensus mechanism is the core of distributed technologies.In a decentralized environment, where no central entity validates transactions, the consensus protocol ensures that all the participants of the network achieve an agreement: the network as a whole validates transactions in a fully trustless way.Fantom uses the Lachesis Proof-of-Stake (PoS) consensus methodology, which allows for asynchronous transaction confirmation.Lachesis is a DAG-based aBFT consensus algorithm that outperforms both the Classical and Nakamoto models in terms of performance.
While being Byzantine Fault Tolerant, Lachesis is asynchronous, leaderless, and final.
Lachesis is built to readily integrate with programs written in any programming language.Developers may concentrate on the application logic while Lachesis takes care of the state machine replication.Lachesis connects to other Lachesis nodes to ensure that the same commands are processed in the same order.Peer-to-peer networking and a DAG aBFT consensus algorithm are used to accomplish this.Because Fantom enables the usage of numerous distributed ledgers with consensus at their heart, users can complete their transactions with near-instantaneous finality.Each decentralized ledger can communicate with one another in order to send transaction data as needed.Both stakers and delegators can earn incentives for each epoch in a proof-of-stake system.
A user must deposit 3.175 million FTM to operate as a validator and earn transaction fee incentives.Delegators assist validator nodes and are rewarded for their efforts; however, they must pay a 15% fee to the validator.
Following the launch of the mainnet, the first awards were kept for six months before being given out on June 23, 2020.
Security
Fantom also provides superior security by securing the network with a leaderless Proof-of-Stake protocol.Unlike many other existing projects, Fantom does not prioritize scale over security and decentralization.
By removing any trusted leaders, Lachesis uses leaderless Proof-of-Stake consensus, which assures a better level of security.
Technology
Fantom is built around two fundamental technologies: the Lachesis protocol, which serves as the core consensus layer, and Opera, which serves as an application development layer.
The OPERA Infrastructure is at the heart of the FANTOM ecosystem.FANTOM makes use of the FANTOM OPERA Infrastructure (OPERA ChainTM).While collecting and settling blockchain data in a distributed setting, the OPERA chain should be more capable than other blockchains.
The OPERA Infrastructure layer maps and stores information on transactions, smart contracts, and stories (historical information) that arise from various applications in areas such as payments, reservations, deliveries, commerce, and reputation, as well as the result of operating the current and previous event blocks at the computation layer, including data that indicates the value of the previous event block.
Token Distribution (Tokenomics)
Users that invest their Fantom (FTM) tokens on the platform earn an annual percentage rate (APR) ranging from 3.79 percent to 11.59 percent.The APR rate is determined by two factors: The total quantity of FTM tokens staked, as well as the total amount of time the tokens have been staked.Fantom (FTM) tokens have a total supply of 3.175 billion hard-capped, all coins were mined at genesis, 40% went to investors, 31.38% were reserved for block rewards and airdrops, 28.62% for founders and projects.
There are presently 2.1 billion FTM tokens in circulation.
The remaining FTM tokens will be used to provide staking incentives to FTM holders.FTM tokens will be used to pay transaction and smart contract execution costs, as well as to protect the network using Fantom’s Proof-of-Stake (PoS) consensus and vote in Fantom’s on-chain governance system.To run a node, network validators must stake FTM and receive a proportional share of the staking rewards.
Users who do not wish to host a node can delegate their tokens to an existing validator in order to receive a share of the staking rewards and network fees.
The amount a validator has staked plus any delegations received determines voting power.In order to combat spam assaults on Fantom, each transaction requires a transaction fee to be paid to the network.FTM (Fantom’s native token) is used to pay the fee.Validators are paid transaction fees in exchange for completing transactions.
An SFC contract has complete control over the distribution of rewards.Without a hard fork, governance can upgrade the SFC contract at any time.The SFC contract holds 30% of transaction fees (these funds are not utilized).
The remaining 70% of transaction fees are divided according to validators’ transaction reward weights.
The vesting schedules described during the Launch section, as well as the distribution of pre-mined staking rewards, are the causes of the increase in liquid supply shown on the curve.
Validators and delegators will receive those benefits on a daily basis.Until 2024, the daily projected distribution is set at 682,425.46 FTM.On October 28, 2021, Fantom reached an all-time high of $3.46.(6 months).
On March 13, 2020, Fantom hit an all-time low of $0.001902269746.(about 2 years).
Binance, Crypto.com Exchange, HitBTC, OKX, Phemex, Bybit, and FTX are all places where you can trade Fantom.
Backers / Investors
Blockwater Capital is a cryptocurrency fund established in Korea that began operations in the first quarter of 2018.Francisco Jo, the founder of Coinhills, and Isaac Lee serve as its General Partners, while Erica Kang, the CEO of KryptoSeoul and a well-known influencer, and Wanlin Wang, the cofounder of Bibox, a global exchange, serve as its Partners.Another fantom investor is TCM.
TCM is a company that specializes in asset management and blockchain consulting.King & Wood Mallesons (KWM) is a Hong Kong-based multinational law firm.KWM is the first and only global law practice established in Asia, as well as the largest legal firm with a headquarters outside of the United States or Europe.
Hyperchain Capital has been one of Fantom’s biggest supporters, becoming one of the first large-scale investors in 2018.The company has now doubled-down on its original investment, pouring another $15 million into the group in recent months.
Other investors include; Alameda Research Dover, DE, United States., Arrington XRP Capital, United States., Blockox Fund China, Founded in 2018.
Social Dominance
Last year, Fantom social dominance peaked in October 2021.With a 2.08 percent overall dominance.The ecosystem’s popularity grew as a result of community involvement and active marketing.
The peak in dominance is also reflected in the price.The chart above shows the relationship between social dominance, social engagement, and market prices for the month of March and April 2022.
Followers: Reedit, Twitter, Medium, Telegram
As of April 11th, 2022, the fantom network has a total of 422.5k followers on Twitter ,36.1k fantomians on Reddit, 30,727k members on telegram.
Fantom roadmap.
Intermezzo stage (June 15 ICO), Seria stage (3Q, 2018), Buffa stage (1Q, 2019), Operetta stage (3Q, 2019), and ultimately Operetta stage (3Q, 2019) are some of the stages in the Fantom roadmap.
Ecosystem and Active development
Since its mainnet launch in December 2019, Fantom has experienced fast growth.Fantom is a Layer-1 platform that is compatible with the Ethereum Virtual Machine that is fast, scalable, and secure.Let’s take a look at how the network ecosystem has evolved so far.
They launched Fantom’s fWallet in January 2021 with on-chain governance.Fantom is the first fully decentralized layer-1 network that allows all users to submit and vote on enhancement recommendations.
The community voted in June 2021 to lower the required FTM to run a validator node to 1,000,00 FTM.The criteria for becoming a validator are less severe, and they anticipate dramatically increasing network decentralization.The Go-Opera upgrade was implemented in April 2021.The big network upgrades improved P2P synchronization and reduced Time-to-Finality to one second on average.
DApps, Services, and DeFi on Fantom platform include; REN – Ren develops open protocols providing access to inter-blockchain liquidity for all decentralized applications.
AnySwap — Based on Fusion DCRM technology, AnySwap is a fully decentralized cross-chain swap protocol with an automated pricing and liquidity system.AnySwap runs on Fantom, Fusion, and several other technologies.xPollinate — xPollinate is a cross-chain bridge for swapping USDC, USDT, and DAI between the Fantom, Matic, and Binance Smart Chain networks.Gravity- A blockchain-agnostic oracle system that supports communication of blockchains with the outside world, cross-chain communication, and sidechains.Clover- Clover is a powerful smart contract platform that enables EVM-compatible projects to migrate their contracts onto Polkadot.
SushiSwap — One of the largest automated market-making (AMM) decentralized exchanges (DEX).Users can trade in a fully decentralized way using liquidity pools..