Fantom (FTM) Secret Weapon: Could This Project Be The Next Big Thing In Crypto?

Ronaldo Marquez

2 years ago

3 mins read

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Fantom (FTM) is a blockchain project that has gained attention in the crypto space for its unique features and potential. Despite a recent dip in key metrics such as Total Value Locked (TVL), the project has something special that many believe is worth attention.

Is Fantom Poised To Disrupt The Crypto World?

One of the most important metrics for any blockchain project is TVL, which represents the amount of money invested or held in the network. According to the data researcher for Dune Analytics under the pseudonym “OxFinish”, for Fantom, TVL saw a massive uptrend in the autumn of 2021 during the second Bitcoin run to an all-time high (ATH) but has since fallen to its lowest point in almost two years, currently sitting at approximately $292 million.

Interestingly, the TVL correlates perfectly with Stablecoin Market Capitalization, the easiest thing to bridge between blockchains, as seen in the chart above.

Moreover, according to Ox, FTM’s price is highly correlated with active users, as evidenced by the recent mini “Altcoin Season” surges in network activity when the price increases. Social dominance and USD transaction volume have also fallen, indicating a complex interdependence of key metrics within the ecosystem.

The Rising Star Of Fantom’s DeFi Ecosystem

Despite the above, Fantom has a vibrant ecosystem of projects building on it, with one decentralized exchange (DEX) standing out as the backbone of the network: SpookySwap. SpookySwap currently has over 22% of TVL dominance, with only GMX on Arb having a slightly higher percentage at approximately 24%. At one point, the TVL of SpookySwap was higher than the TVL of Avalanche.

As an automated market maker (AMM), SpookySwap enables users to trade any ERC20 token on the Fantom network without needing an order book. Instead, the platform uses complex algorithms to determine the price of tokens based on supply and demand. This approach makes it easy for users to trade tokens quickly and efficiently while ensuring that prices remain stable.

Furthermore, SpookySwap offers a range of features and benefits that make it attractive to users. It leverages the high speed and low transaction fees of the Fantom network to provide a seamless and efficient trading experience for users. Additionally, it offers a range of advanced features such as limit orders, liquidity provision incentives, and a range of trading pairs.

Despite the departure of Andre Cronje, the Fantom creator, the Fantom ecosystem continues to grow and innovate, with SpookySwap leading the way. However, the rise of different Layer 2 (L2) solutions in the crypto space provides comparable benefits to Fantom, making attracting and retaining users more challenging.

However, according to Ox, Looking at the metrics and recent innovations, there is still plenty of potential for Fantom to rise in the next bull market. Although, it will require the project to continue to innovate and stay ahead of the curve to stand out in an increasingly crowded marketplace.

Featured image from Unsplash, chart from TradingView.com

Ronaldo Marquez

Ronaldo is an experienced crypto enthusiast dedicated to the nascent and ever-evolving industry. With over five years of extensive research and unwavering dedication, he has cultivated a profound interest in the world of cryptocurrencies.

Ronaldo's journey began with a spark of curiosity, which soon transformed into a deep passion for understanding the intricacies of this groundbreaking technology.

Driven by an insatiable thirst for knowledge, Ronaldo has delved into the depths of the crypto space, exploring its various facets, from blockchain fundamentals to market trends and investment strategies. His tireless exploration and commitment to staying up-to-date with the latest developments have granted him a unique perspective on the industry.

One of Ronaldo's defining areas of expertise lies in technical analysis. He firmly believes that studying charts and deciphering price movements provides valuable insights into the market. Ronaldo recognizes that patterns exist within the chaos of crypto charts, and by utilizing technical analysis tools and indicators, he can unlock hidden opportunities and make informed investment decisions. His dedication to mastering this analytical approach has allowed him to navigate the volatile crypto market with confidence and precision.

Ronaldo's commitment to his craft goes beyond personal gain. He is passionate about sharing his knowledge and insights with others, empowering them to make well-informed decisions in the crypto space. Ronaldo's writing is a testament to his dedication, providing readers with meaningful analysis and up-to-date news. He strives to offer a comprehensive understanding of the crypto industry, helping readers navigate its complexities and seize opportunities.

Outside of the crypto realm, Ronaldo enjoys indulging in other passions. As an avid sports fan, he finds joy in watching exhilarating sporting events, witnessing the triumphs and challenges of athletes pushing their limits. Furthermore, His passion for languages extends beyond mere communication; he aspires to master German, French, Italian, and Portuguese, in addition to his native Spanish. Recognizing the value of linguistic proficiency, Ronaldo aims to enhance his work prospects, personal relationships, and overall growth.

However, Ronaldo's aspirations extend far beyond language acquisition. He believes that the future of the crypto industry holds immense potential as a groundbreaking force in history. With unwavering conviction, he envisions a world where cryptocurrencies unlock financial freedom for all and become catalysts for societal development and growth. Ronaldo is determined to prepare himself for this transformative era, ensuring he is well-equipped to navigate the crypto landscape.

Ronaldo also recognizes the importance of maintaining a healthy body and mind, regularly hitting the gym to stay physically fit. He immerses himself in books and podcasts that inspire him to become the best version of himself, constantly seeking new ways to expand his horizons and knowledge.

With a genuine desire to become the best version of himself, Ronaldo is committed to continuous improvement. He sets personal goals, embraces challenges, and seeks opportunities for growth and self-reflection. Ultimately, combining his passion for cryptocurrencies, dedication to learning, and commitment to personal development, Ronaldo aims to go hand-in-hand with the exciting new era that the emerging crypto technology is bringing to the world and societies.

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