The Fantom Network has one of the best brandings among most blockchains and cryptocurrency platforms, but what exactly is it? In this video, we’ll be looking at what the Fantom Network is, how it began, how it operates, and what the thoughts of crypto enthusiasts regard it.
How It Began
Founded in 2018 by Dr. Ahn Byung Ik and her colleagues from Australia, they wanted to establish a cryptocurrency system that ran on an extensive matrix of networks powered by blockchain.
As of today, Fantom prides itself as a highly scalable blockchain platform for crypto dApps, DeFi, and enterprise applications. But what exactly is it?
Fantom Network
Fantom Network is home to several experts, enthusiasts, and other professionals who collaborate on branded projects. It’s unique because it uses a DAG—which means it isn’t a blockchain.
A blockchain works on the principle that each blockchain containing data must have one before and one after, but a DAG doesn’t work like that.
Directed acyclic graph, or DAG, is a data modeling tool that’s used for cryptocurrencies much like blockchains, but it works differently. Instead of a chain, a more accurate representation of what a DAG would look like if we were to visualize it is that it’s similar to a tree-like structure with various branches.
How Does It Operate
Aside from DAG, Fantom further sets itself as a unique platform using a unique proof-of-stake model called Lachesis. It only has around 50 validators, and the qualifying factor in becoming a validator is for a person to have staked at least a million fantom coins.
Validators are king in Fantom, and we see this in how the network operates. Instead of people aiming to become validators and earning, they delegate their coins to validators they trust to start earning delegated staking rewards. This means that there’s more power for validators in FTM, unlike other cryptocurrencies.
What Do Crypto Enthusiasts Think About It?
Overall, crypto enthusiasts are torn when it comes to the Fantom Network. Some of them think it’s a cool and unique approach to cryptocurrency, but some also believe that the nature of how it operates is scary and vulnerable to monopoly.
The fact that one would only need to control 1/3rd of the coins to maintain the entirety of the market is scary. However, comparing the speed and cost of transactions to Bitcoin, which takes around an hour, and to Ethereum, which takes 10 minutes over Fantom, which only takes 1-2 seconds, has its merits.
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