Fantom Sees an Avalanche of New Activity to Hit Records, Announces Rewards to Build on the Platform
The layer-1 platform is processing more than a million transactions and recording 16.5k FTM in fees as TVL hits $750 mln and FTM token nears $0.95 peak.
Layer 1 platform Fantom (FTM) is following the footsteps of Polygon (MATIC) and Avalanche (AVAX) as it announced ecosystem-wide liquidity mining.
Like very recently, AVAX benefited immensely from its program by pumping more than 500% in just over a month; FTM has now taken to rallying.
In a matter of just four days, FTM has surged over 110% to above $0.88. As of writing, FTM is trading at $0.83, still down 12% from its all-time high in early May at roughly $0.95.
The rally came as the project announced a 370 million FTM incentive program for builders. “If you're a protocol team, we'll reward you for sustaining and increasing your TVL on Fantom,” it said.
With liquidity mining getting popular, the Fantom team notes that they have been asked to provide rewards to its users willing to deploy on top of the chain. They noted,
“We believe that playing by the book doesn’t warrant different results. Therefore we have decided to introduce a different kind of program to better align incentives between users, builders, and the network.”
Can you predict the growth of the #Fantom ecosystem after its Incentive Program worth 370M $FTM? pic.twitter.com/F2yXT82snC
— Coin98 Analytics (@Coin98Analytics) August 30, 2021
Starting this Monday, the protocol has committed 370,000,000 FTM to the program. A protocol can apply to avail of the rewards if their TVL on the protocol stays above a time-weighted average of $5-$100 million for an extended period.
Since Friday, the total value locked (TVL) on the protocol has gone from just under $440 million to $750 million on Monday. At the beginning of May, the TVL on Fantom was under $2.9 mln which has now reached just above $683 mln, according to DeFi Llama.
SpookySwap accounts for 29.5% of this TVL, followed by Curve, Scream, and SpiritSwap, with Cream Finance at 8th place, while Sushi has deployed $5.3 mln as well.
The liquidity mining program and the subsequent surge in FTM prices have resulted in the platform recording more than 1 million in daily transaction count.
The number of transactions on Fantom has exploded to a peak of 1,169,019 transactions on August 30, from just over 263k last week.
The same is the case for transaction fees on the platform, which kept around 5k FTM every day when it posted a massive increase to 67,588 FTM on Monday. The ATH before that was 16,582 FTM on May 23, 2021, according to FTMScan.