Fantom Foundation Pledges $120M to Boost Launch of New Network, Sonic
Summary:
The Fantom Foundation recently announced its intention to facilitate the launch of new network Sonic by committing up to 200 million Fantom tokens from its treasury, an equivalent of around $120 million, to help developers migrate their projects onto Sonic. The Sonic Foundation will handle the Sonic's governance, manage the treasury, and develop the DApp ecosystem. Sonic will feature a new layer-1 solution and a built-in layer 2 that links directly to the Ethereum network, enabling users to access Ethereum's extensive decentralized applications and community.
The Fantom Foundation, responsible for the Fantom decentralized network, has declared a monetary endorsement to propel the initiation of Sonic, a novel and more expedient network. The foundation announced on June 20 its plan to designate up to 200 million Fantom tokens (FTM), with an estimated value of $120 million, to assist developers and companies transition their projects to Sonic.
The guaranteed funds will be deployed to locate and secure eminent partners capable of contributing towards the construction and enlargement of the Sonic network. These collaborators include app developers working directly with Fantom, creators of decentralized apps (DApps) and partners offering critical tools and services.
The Fantom Foundation acknowledges that the financing source is a prudent financial stratagem led by Fantom's network inventor, Andre Cronje. This plan ensures there's no increase in the total quantity of tokens. Initial allocations aim to introduce strategic grants to applications already within the Fantom ecosystem, prioritizing those with a vested interest in harnessing Sonic technology.
This financial support coincides with the establishment of a dedicated foundation to streamline the launch of the impending Sonic chain. The Sonic Foundation will be responsible for managing Sonic's jurisdiction, regulating network treasury, coordinating partnerships and nurturing the DApp ecosystem.
Fantom Foundation's CEO, Michael Kong and the development team disclosed that the Sonic network will incorporate a new layer-1 solution. Furthermore, it will feature a built-in layer 2 that directly links the EVM-compatible network to the Ethereum network.
Consequently, the architecture of the Sonic Chain will offer users the opportunity to utilize Ethereum's comprehensive ecosystem of decentralized applications, liquidity providers and a vast community.
This isn't the initial financial encouragement provided by the Fantom Foundation. In May, the platform endorsed the concept of “safer memecoins” by allotting $6.5 million of its tokens to incentivize developers. Subsequently, in May 2023, a team within the newly launched Fantom Opera network implemented the “Gas Monetization Program.” This initiative was designed to compensate developers for the gas fees incurred from their users, by allotting eligible developers 15% of the total gas fees generated by their apps.
In an attempt to garner more details regarding the Sonic Labs fund, Cointelegraph reached out to the Fantom network team. However, no response has been received as of yet.
Interestingly, recent findings suggest that one in six new Base meme coins are fraudulent, with 91% possessing vulnerabilities.
Published At
6/21/2024 12:46:31 PM
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