In response, a number of new blockchains have arisen in recent years that provide all of the features of Ethereum while also addressing the network’s flaws. The Fantom platform is one of these up-and-coming networks.
South Korean software engineer Ahn Byung Ik launched the Fantom Foundation in 2018 and founded the Fantom Network as part of it. It was built to be a safe, efficient, affordable, and scalable smart-contract system for DeFi apps.
The network intends to bridge the gap between Ethereum and other smart-contract platforms by tackling scalability, decentralization, and transactional speed concerns.
Its native token is FTM, and it is intended for staking, fees, and governance, and it makes use of the Lachesis consensus process, which is a combination of the Asynchronous Byzantine Fault Tolerance (aBFT) and proof-of-stake (PoS) consensus mechanisms.
Many early blockchains, such as Ethereum and Bitcoin, were not built for scalability. Decentralization and security were among their only concerns.
The network’s transaction speeds slowed thereafter; particularly as new nodes were added. Every transaction on the Bitcoin network, for example, can take 15 minutes, while transactions on the Fantom blockchain can be completed in just a few seconds.
Fantom used the innovative Lachesis consensus to solve the problem of having to balance security, speed, and decentralization.
Lachesis’ PoS mechanism, like every other PoS blockchain, enables validators to make new blocks by staking their Fantom tokens. The aBFT protocol is a key aspect of the Lachesis consensus since it enables nodes to create blocks independently.
Even if there are broken or corrupt nodes in the system, the Byzantine Fault Tolerance algorithm still enables consensus. It could manage up to a third of malicious nodes without causing a service disruption.
As a result, the nodes may reach a consensus on their own using a two-stage block verification if they achieve a two-thirds supermajority. This eliminates the need for a leader or master node to create blocks, allowing for speedier transactions while still retaining robust security.
Fantom, despite its youth, has a lot of things going for it, particularly as a competitor to Ethereum.
It is more decentralized because of its independent blocks, and transactions are a lot faster. It is also starting to become a hotspot for DeFi initiatives. Fantom surpassed Defi Llama as the third-largest DeFi network in terms of overall value locked in.
However, the worldwide market capitalization and price movements are important in the world of cryptocurrencies. FTM had a wonderful year in 2021, starting with a cost of under $0.02 and peaking at $3.48 in October.
The platform has demonstrated that it can be a viable alternative for developers and provide users with quick transactions and lower fees.
In comparison, Ethereum’s notoriously high gas fee can quickly reach $130 during peak hours. These characteristics imply that Fantom is a better candidate for mainstream crypto adoption than Ethereum.
If you’ve never invested in FTM, you’re probably wondering if it’s a good idea.
Although Ethereum is a much larger network when compared to Fantom, Fantom solves some of Ethereum’s flaws. It offers higher scalability at a reduced cost, making it more efficient, affordable, and practical.
Predictably, the network is gaining traction in the cryptocurrency market, making it a viable investment option. Furthermore, Fantom is currently a lot more affordable than Ethereum, making it an attractive investment for beginners.
Experts anticipate that the value of this new cryptocurrency will rise exponentially, making a long-term investment in FTM one of the easiest ways to earn with cryptocurrencies.
Fantom is an up-and-coming cryptocurrency and smart contract platform growing in popularity for good reasons. It has been designed to address some of the issues that major platforms such as Ethereum face.
If you’re looking for ways to become a part of the Fantom network, why not check out the Hector Finance Project?
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