Fantom was launched in 2018 as an alternative to slow and poorly scalable blockchain like Bitcoin or Ethereum. It is a distributed network based on Directed Acyclic Graph (DAG) running in parallel. This is the first crypto-project based on DAG.
Fantom network has its own service token FTM, which used to work on the ERC-20 (Ethereum) standard and later was moved to its own blockchain. In this article, we will talk about the purpose of Fantom network, its technical characteristics and prospects. We will also go into details about FTM token, its features, buying, selling and storing.
Objectives of Fantom project
Fantom blockchain network was created to be implemented in the city’s infrastructure. According to the developers’ idea, all service providers, as well as city management systems, can be united into a single, high-speed, scalable, and well-protected network. There is a point in the road map of the project that identifies the upcoming launch of about 90 million smart devices almost everywhere.
Besides the development of decentralized infrastructure of the cities, the Fantom network can also be useful for:
- creating smart home systems;
- simplification of work with public utilities;
- a separate direction – the sphere of medical services;
- education;
- regulation of road traffic in cities of any size;
- smart resource management;
- Fantom network can also be useful in the ecology sphere.
The point is that Fantom offers a simple and reliable information network with high data transmission rate, which can be adapted to various projects and systems.
Features of the Fantom project:
1. Uniqueness of the network due to the use of DAG technology. This technology is better known in mathematics and is used in the cryptocurrency sphere for the first time.
2. Main Net, which supports the entire system, was launched in 2019.
3. Fantom network has progressive scalability. That is, as the network grows, so does the bandwidth. The more nodes connected to the Fantom blockchain, the higher the scalability.
4. Relevance. The Internet of Things (IoT) field is developing very rapidly, and Fantom can get into the upward trend by offering a high-speed network for deploying IoT devices.
5. Fantom blockchain has its own very simple programming language, Scala. This is both an advantage and a disadvantage. On the one hand, its own language provides more options for full implementation of the project’s advantages. On the other hand, developers need to learn a new programming language and work on compatibility with other popular languages used in the cryptocurrency sector.
Now Fantom and FTM tokens in particular are 64th in the ranking of the best blockchain projects by market capitalization and popularity (data of Coinmarketcap analytical service).
FTM token features
The Fantom network service token, as in other similar projects, performs several functions:
- maintaining the system’s operability;
- implementation of tokens in related projects to be launched on the Fantom blockchain;
- mutual settlements within the network;
- trading on external trading platforms.
Initially, the FTM token, as well as the Fantom network, ran on the Ethereum blockchain. However, after the launch of Main Net, the network was transferred to its own system, gaining autonomy. Now FTM tokens have their own standard, compatible with ERC-20.
Token features:
- the technical basis is Fantom blockchain with DAG and Main Net support;
- The maximum issue is 3,175,000,000 tokens (all tokens have already been issued and distributed);
- token market capitalization – $620.3 million;
- daily trading volume on all crypto exchanges – $123.9 million;
- Current price of the token – $0.24.
Regarding the value graph, FTM tokens were originally sold for $0.01. But in January 2021, there was active growth, which is associated with the growing price of Bitcoin. By mid-July 2022, the value of the token is at $0.24.
Where to buy, sell and store Fantom tokens
FTM tokens are traded on exchanges such as:
- Binance (CEX and DEX);
- Crypto.com;
- Digifinex;
- Gate.io;
- FTX;
- Huobi;
- OKEx;
- KuCoin;
- Bitfinex;
- UniSwap (v3);
- Nominex;
- Bitvavo;
- BTSE;
- Gemini and many others.
Wallets for storing FTM tokens
Wallets can be divided into 4 main types: online, desktop, hardware and wallets within exchange accounts. Here are examples and features of each group.
Online wallets are the most popular of the 4 types. Simplicity and security is the main trump card of such wallets. Among others, let’s highlight: Fantom Web Wallet, Math Wallet, OKEX Wallet, Metamask (browser extension). Working with such wallets is very convenient, there is no need to install additional programs, and you only need to enter the wallet via your browser. It takes about 5 minutes to deal with the operation.
Desktop wallets are also in high demand in the crypto world. Note DCent, TrustWallet should be singled out. Such wallets have extended functionality and support for a large number of cryptocurrencies. Most often such wallets are used by experienced users and professional investors. But the complex functionality of wallets scares away the average user.
Hardware wallets are the safest way to store cryptocurrency. The most popular physical wallets are Ledger, Trezor, CoolWallet. Most often, only large holders of cryptocurrencies and professional investors are willing to pay for increased security. The cost of such wallets varies from $60 to $100.
Wallets within exchange accounts are online wallets integrated into cryptocurrency exchanges. All major exchanges have their own wallet – Binance, Huobi, FTX. But despite the popularity and confidence in the exchange – it is the most insecure way to store their coins. Such wallets are used as an instrument of depositing and withdrawing funds to the exchange itself and we donβt extremely recommend storing your coins in such a way.
Project Fantom Prospects
Can the Fantom project fill the niche as it was designed for? Back in 2019, the developers promised that by the end of 2020, their network would operate in at least five major cities and provide more than 90 million smart devices.
It’s now July 2022. The roadmap goals have not been met, and the FTM token has become a speculative tool in the hands of experienced and not-so-experienced crypto traders. The Fantom project got off to a rather good start, attracted a lot of attention, and still has every chance to take a place in the top 110 cryptocurrencies.