The Fantom (FTM) blockchain recently included the Vault mechanism in its crypto ecosystem. In the article we will go over in detail what it is and what effect it has had on Fantom.
Ecosystem Vault the new financial mechanism of Fantom
On 20 January, the Ecosystem Valut, a new fund for decentralized financing, was integrated on the Fantom blockchain. This Ecosystem Vault was created to finance projects built on Fantom’s blockchain by offering alternative ways.
Indeed, builders are provided with a decentralized way to implement and fund projects, ideas and creations through community decisions. This is an entirely alternative innovation that provides a sense of freedom when compared to other blockchains.
The Ecosystem Vault proposal was launched in July 2022, and was immediately approved by the blockchain. The fund is controlled by the community, which redirects 10% of Fantom’s transaction fees, directly to the Vault.
The idea is one of the most revolutionary in 2023, the project is transparent and in the hands of the Fantom community, the funds will support early-stage startups focused on Fantom.
Applicants for funding must post their proposals on the community forum. Each proposal must be described in detail, the project’s goals, timeline, how it will be developed, and other notions must be explained.
Then the community must vote for the project they wish to develop. To be supported, a project must reach a quorum of 55% community approval. Payments will be subsidized through the LlamaPay payment solution.
Applicants can apply for funding equal to 500 thousand FTM (native Fantom token) for a one-month program. 1.5 million FTM for a three-month program and up to 3 million FTM for a six-month program. In addition, programs with more than a 12-month project will be awarded 3 million FTM plus bonuses.
The price of crypto FTM skyrockets due to the new integration
As many as 8.58 million transactions have been completed on the Fantom network in the past 20 days. However, monthly transactions on Fantom have been steadily declining since July; indeed, the blockchain is down 68%.
The news of Ecosystem Vault’s integration has ushered in a breath of fresh air.
In fact, as of 20 January, the network has seen the creation of 4,900 new addresses with 51,490 active addresses per day.
What has been surprising though, is the increase in the value of Fantom’s native token, FTM. The price of the token according to CoinMarketCap has risen about 70% in the last month. The price of the token as of today is $0.30. According to the data, the FTM token has greatly increased its network activity in the past month, the active wallet count has increased by 132%.
This is good news for Fantom, which sees its community growing larger and larger and the price of its native token growing.
Fantom’s 2023 goals
DeFi Architect Andre Cronje, explained in a post what Fantom’s goals will be in 2023. In the post published on 26 December 2022, Andre Cronje lists Fantom’s blockchain goals and priorities:
“Over the next 12 months, our goal will be to create an environment in which DApp developers can build sustainable businesses while differentiating ourselves from other Layer-1 solutions.”
Hence, it is no secret: Fantom’s goal is to expand the DApp ecosystem. The goal will be divided into several points. A key point for blockchain is monetizing gas, that is, sharing the revenue of decentralized applications as an incentive for development.
The network will also end the distinction between smart contracts and externally owned accounts, so that everyone can initiate transactions and pay for gas.
Andre Cronje continues with positive statements:
“As has been publicly communicated, we are in a very sustainable and healthy position given the current economic climate. Especially compared to 2018. A potential threat to our existence that we will no longer have to worry about.”
Fantom is capable of processing up to 10,000 transactions per second at less than $0.01 per transaction. Its high scalability and proving to be an inexpensive platform make it the anti-Ethereum blockchain.
Even though 2022 has not been a very easy year for Fantom, it seems that the new integration with the financing service has stirred the Fantom community a great deal.
