Fantom: Market Slowdown Chops Off 10% From Gains – Here’s Why

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Leading the downturn today, Fantom (FTM) contributes to the 2% drop in the crypto market after weeks of growth.

Fantom is one of those altcoins that followed the broader momentum of the market. The latest market data shows that the token is down 10% in the past 24 hours, but is still on the green in the bi-weekly timeframe at 14%. However, Fantom has a trick up its sleeve to curb this brewing bearishness potentially. 

Fantom CEO Michael Kong Unveils Sonic Launch 

Sonic is the brand-new technology that the Fantom has been developing in the past 2 years. According to their latest blog post, Sonic was able to surpass the network’s 200 transactions per second metric. Although 200 TPS was already impressive compared to Ethereum’s 12 TPS, the network was quickly congested, and user experience deteriorated. 

Kong said in the blog post: 

“​​Sonic will be used to create a new best-in-class shared sequencer for L1 and L2 chains, capable of processing over 180 million daily transactions with real, sub-second confirmation times, and serve as the foundation to relaunch Fantom as an entirely new community-centric brand.” 

This brand-new tech will cover all parts of the Fantom network, from bridging to a stablecoin launch, Sonic has it all. 

Sonic Labs will also gain a slice of the pie as the foundation ultimately adds grant programs alongside the network upgrades. 

“We will continue to significantly scale and accelerate our Sonic Labs grant program for developers who build unique and valuable applications and public goods in categories including gaming, DeFi, social media, streaming, and now distributed AI,” Kong added. 

This will significantly increase the size of Fantom’s user base, boosting investor confidence, and giving more room for developers to innovate. 

Furthermore, the advancements brought forth by Sonic Labs in covering all aspects of the Fantom network, from bridging to the launch of a stablecoin, are poised to have a notable impact on Fantom’s market dynamics.

By streamlining processes, enhancing interoperability, and introducing new functionalities, these developments are likely to enhance the network’s attractiveness to investors and users alike.

The Fantom Foundation X account announced today that Frax Finance Founder Sam Kazemain is the first angel investor for Sonic, stating that Frax will deploy natively issued assets on Sonic on its eventual launch.

Short-Term Gains Slashed In Favor Of The Long-Term

Meanwhile, the bears have completely taken over the FTM market in the short to medium term. Investors in FTM could only hope that the broader market downturn will reverse in the coming weeks. 

Featured image from Pexels, chart from TradingView

Source: NewsBTC

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