Fantom Chain Announces Record 370M FTM ($277M) DeFi Incentive Program

The 370 million Fantom (FTM) tokens are being made available to builders with rewards ranging from 1M to 5M FTM.

By
Robert D. Knight
on
August 31, 2021
Category:
Blockchain News

FTM

Fantom chain has announced a record $277 million Decentralized Finance (DeFi) incentive program. The network will now offer rewards for protocols willing to deploy on its chain. The project has created a funding model which it believes will ‘better align incentives between users, builders, and the network’.

According to Fantom, builders are the ones to best judge where funds should be allocated. Therefore the Fantom funds will be available to anyone who meets minimum requirements. 

“From today on, protocol teams will be able to apply for rewards from the Fantom Foundation based on their total value locked (TVL), scaling from 1,000,000 FTM up to 5,000,000 FTM in its first iteration, and to be changed accordingly depending on the needs of builders,” explained Fantom in their blog on August 30th.
Source
The team went on to add that, “A protocol team can apply for rewards if the TVL on that protocol can stay above a time-weighted-average of $5,000,000 or $100,000,000 for an extended period of time.”

A two month cliff commences after an application is approved. If at any point the time weighted average falls below the time-weighted average, rewards will be paused. While TVL or the total volume locked in a platform is often used as an indicator of project health and success, it can be affected by swings in the market. Fantom will therefore use “DeFi Llama” to track the TVL.


Exciting Times

The rewards scheme launched by Fantom marks an exciting period for the company and an exciting period for DeFi more generally. As Simone Pomposi, head of Marketing at Fantom Foundation, acknowledged in a press release on Monday, August 31.

“We’ve seen a lot of exciting things going on in regards to liquidity mining. So exciting that even other foundations behind their respective chains started to provide rewards to users of protocols willing to deploy on top of their chain. We’ve been asked to do the same, but 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.”

In further good news for the platform, the company token FTM has been performing well of late, going on an extended run which has witnessed the token increase by 87% over 14 days and 189.9% over 30. While the token has retraced slightly from $0.84 on Monday, it remains at a healthy $0.75. 

With the announcement of the incentive program, FTM hodlers will hope that the token can continue to demonstrate strength in the coming weeks.

Where to find Fantom:

Website | Telegram | Twitter | Discord | Reddit |

Tags:
Robert D. Knight

Robert D. Knight is an experienced journalist and copywriter who has been working in crypto for 4+ years. His bags are heavy in ETH and BTC, plus he also hodls some smaller cryptocurrency.

Text Link

Lorem ipsum dolor sit amet, consectetur adipiscing elit. Suspendisse varius enim in eros elementum tristique. Duis cursus, mi quis viverra ornare, eros dolor interdum nulla, ut commodo diam libero vitae erat. Aenean faucibus nibh et justo cursus id rutrum lorem imperdiet. Nunc ut sem vitae risus tristique posuere.