Fantom Doubles Price After News Of 370M FTM Incentive Program Launch
FTM which has gone 500% in price during the past six weeks and recently launched $320 million (370M FTM) incentive program could see the rally extend further.
Fantom (FTM) is a layer-one smart contract platform that utilizes a directed acyclic graph architecture as a means to solving the problems of slow transaction speeds and high transaction fees.
Since hitting a low of $0.15 on July 20, the price of FTM has rocketed 500% to an intraday high at $0.90 on August 30 as its 24-hour trading volume exploded by 1,250% to a record $1.26 billion.
The reasons for the surging momentum in Fantom include the launch of a 370 million FTM incentive program, a significant increase in social media engagement and the continued increase in the amount of value locked on the protocol.
Liquidity Incentive Program
The biggest momentum boost for Fantom came on Aug. 30 with the announcement of a 370 million FTM incentive program ($320 million), designed to attract new protocols and liquidity to the Fantom ecosystem.
Announcing 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.
Under the program, developers who launch on the Fantom network will be able to apply for rewards from the Fantom Foundation and will receive between 1 million to 5 million FTM depending on the total value locked (TVL) in the protocol in question.
In order to qualify for rewards, a protocol must maintain a TVL above a time-weighted average (TWA) of $5,000,000 or $100,000,000 for an extended period of time. If at any point the TWA falls below the $5,000,000 minimum, threward distribution will be paused until the TVL once again reaches the required minimum.
Social media
The building momentum for Fantom was registered by social media metrics from Lunar Crush throughout the month of August. The platform showed a 34% increase in social media mentions when compared to the month of July and social media engagements also shot up by nearly 96%.
On-chain data for the network also shows a steadily increasing rate of engagement because the network now has 415,000 unique addresses that conduct more than 300,000 transactions per day.
Fantom social activity heating up.
Makes sense with:
– 415k unique addresses – 10m transactions per month (46m total so far) – 300k+ txs per day – $500m TVL – a strong and growing community – passionate dev teams building cool stuff
These numbers could significantly increase in the weeks and months ahead thanks to the release of the FTM incentive program, which has already lead to a new record high in the number of transactions on the Fantom bridge.
The third reason for Fantom’s explosive growth is the increasing TVL of its DeFi ecosystem which is led by SpookySwap exchange ($192 million TVL).
According to data from DeFi Llama, the total value locked on the Fantom blockchain has now surpassed $657 million with a 19.52% increase coming over the last 24-hours.
As seen in the chart above, the launch of the Fantom Incentive Program helped spark a significant rally in the TVL on Fantom, but the network was already seeing impressive gains in the metric even before the launch of the program.
Between August 4 and August 23, Fantom’s TVL increased from $269 million to a high of $510 million without any special incentives. This proves that interest in interacting with the platform has been on the rise for multiple weeks.
