In the past six weeks, FTM has grown 500%. Its newly launched stimulus program, which commenced with $320 million, could spur further growth.
The Ethereum Network continues to be the leading smart contract platform in the blockchain industry. However, competition is gradually gaining market share as high costs and network congestion continue to pose problems for the protocol.
One project that drew attention in August is Fantom (FTM), a Tier 1 smart contract platform that uses a directed acyclic graph architecture as a solution to the difficulties of slow transaction speeds and high transaction fees.
According to data from Cointelegraph Markets Pro and TradingView, the FTM price increased 500% on Monday after hitting a low of $0.15 on July 20, resulting in a 1250% increase in 24-hour volume to a record $1.26 billion.
The launch of the 370 million FTM incentive program, engagement of social media in its growth, and the steady development in the value that comes with its protocol, are the three reasons for Fantom’s explosive growth.
A liquidity incentive scheme launched by Fantom
On Monday, Fantom recorded its biggest growth, followed by the announcement of a 370 million FTM, which is equivalent to 320 million incentives. This program was created to attract new protocols and liquidity to its ecosystem.
As part of the program, developers starting on the Fantom Network can apply for a bounty from the Fantom Foundation and receive between 1 and 5 million FTM based on the total fixed value (TVL) of that protocol.
The protocol must stabilize a TVL for at least a Time Weighted Average (TWA) of $5,000,000 or $100,000,000 over a limited period of time before being rewarded. If TWA surged to a value of $5,000,000 at any time, reward distribution would stop.
Social media engagements Increase in August
Lunar Crush documented Fantom’s growth in August via social media metrics. The platform received 34% more mentions on social media compared to July. Social media engagement also increased by almost 96%.
On-chain data for the network showed an ever-increasing level of engagement as the network currently has 415,000 unique addresses and more than 300,000 transactions per day.
With the launch of the FTM incentive program, the number is expected to skyrocket in the coming weeks and months. It has already set a new record for the number of trades on Fantom Bridge.
Significant Updates in DeFi
The $192 million increase in TVL is one of the reasons for Fantom’s rapid growth. Furthermore, the SpookySwap and its TVL is governing the DeFi ecosystem.
DeFi Llama data shows that the whole value of the Fantom blockchain has now reached $657 million. The unit indicates a 19.52% increase in the last 24 hours.
The launch of the Fantom incentive program has helped spark significant growth on Fantom’s TVL TV channel. However, the network has already shown impressive performance gains even before the launch of the program.
Without any special incentives, TVL Fantom surged from $269 million to $510 million from August 4 to 23. This increase proves that interest in interacting with the platform is growing over the next few weeks.
VORTECS ™ valuations started rallying green on August 28th, peaking on August 29th and 70th. This is about 4 hours before the price soars by 80% the next day.
Cointelegraph’s proprietary VORTECS™ is an algorithmic comparison of historical and current market conditions based on a combination of data points, including market sentiment, volume, recent price movements, and Twitter activity.
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