Why You Should Care About Fantom (FTM) – The Game-Changing DeFi Coin

Fantom coins have made a noticeable impact in the DeFi world due to the solutions it provides to the scalability issues that have long been a barrier for mainstream blockchains. This platform not only introduces a new consensus mechanism but also builds an entire architecture designed to offer developers and users a seamless experience.

What is Fantom really?

Fantom (FTM) is a public blockchain network for decentralized smart contracts. Operating on an open architecture since December 2019 when the network launched, the success of FTM comes from its solution to the “Blockchain Trilemma” – the challenge of balancing security, speed, and decentralization simultaneously.

What makes it unique is that on the Fantom platform, developers are not limited to using only the main network. They can create their own independent networks. Each project runs on its own blockchain but still benefits from the speed, security, and stability of the main Fantom blockchain.

Lachesis Mechanism – the heart of Fantom

Behind FTM’s performance is Lachesis – a newly introduced consensus mechanism with three key features:

Finality (Instant Finality) – No need to wait for confirmations from subsequent blocks. When sending FTM to others, transactions are confirmed in just one second, much faster than Ethereum and other networks.

Leaderless (Leaderless) – Unlike traditional PoS systems that rely on a few validators, Lachesis has no central leader. This reduces the risk of manipulation or attacks because there are no central points of failure.

Asynchronous Byzantine Fault Tolerance (aBFT) – The network can reach consensus even if some nodes behave maliciously or fail. This system does not require all nodes to sync simultaneously, offering maximum flexibility.

What are the uses of the FTM token?

The FTM token plays several roles within the network:

Staking (Staking) – FTM holders can lock their tokens to support network operations and earn rewards in FTM.

Governance (Governance) – FTM holders have voting rights on key decisions affecting the platform’s future.

Transaction Fees and Payments – Users use FTM to pay for transaction fees and smart contract deployments. Costs are very low compared to Ethereum.

Different types of FTM tokens

Fantom has three forms of FTM tokens depending on the network used:

FTM on Opera Chain – The native token on the main network, used for staking fees and governance.

ERC-20 FTM – The Ethereum version, tradable on Ethereum-based DEXs.

BEP-20 FTM – The Binance Chain version, used on Binance DEX.

Who created Fantom?

Dr. Ahn Byung Ik, a Korean engineer, founded Fantom. Currently, Michael Kong serves as CEO with over 10 years of experience in technology, and Andre Cronje is a key figure in technical development. Andre is well known in the DeFi community for his expertise in platform expansion.

What makes Fantom an interesting coin?

Impressive speed – Transactions are confirmed in 1 second, compared to Ethereum’s longer times.

Node management capability – Lachesis supports over 100 (validators), a high number.

Ethereum compatibility – Developers can build dApps using the same Ethereum code, making project migration easy.

Modular system – Each dApp can be configured for specific use cases.

What should you watch out for when considering FTM?

Although FTM has many advantages, there are also drawbacks:

Staking limitations – Users must stake FTM only on Fantom; staking on other platforms is not possible, which may be inconvenient for those wanting to diversify assets.

Relatively new platform – While Fantom started in 2019, it does not have as long a history as Ethereum or Bitcoin, which could pose risks for conservative investors.

Is FTM suitable for investment?

Based on the network’s fundamental signals, Fantom has potential similar to other leading coins. Lachesis technology and scalability make FTM a different choice. It is best suited for long-term investors rather than short-term profit seekers.

If you are looking for a coin with solid project fundamentals, a robust network structure, and a modern consensus mechanism, FTM is worth considering. The digital asset market is still in its early stages, and Fantom positions itself as a leader in the DeFi space of a secure, fast, and scalable network.