Why Fantom?
Your probably here off the hype, you know you want in, but why? What is all of this? Why Fantom?
What is Fantom?
Fantom is a network of blockchains that provides ledger services to businesses and applications. Fantom is powered by Lachesis, an advanced DAG-based aBFT consensus algorithm. Blockchains built on Fantom are fast, secure, and highly scalable.
These features allow organizations, businesses, and individuals to develop decentralized applications that can be used in the real world, across a wide range of industries.
What problem does Fantom solve? What is the blockchain trilemma?
The blockchain trilemma is the known trade-off in distributed ledger technologies, which have to balance between speed, security, and decentralization.
According to the trilemma, it’s not possible to optimize all three at the same time without any tradeoffs.
For example, a distributed ledger such as Bitcoin has arguably strong security through its consensus protocol and decentralization, but gives up speed as a result.
Fantom addresses the challenge by achieving asynchronous Byzantine Fault Tolerance (“aBFT”). Fantom’s aBFT consensus allows transactions to be processed asynchronously, increasing the speed and the throughput of transactions compared to synchronous BFT ledgers such as Ethereum and Bitcoin.
Fantom achieves decentralization and security through a permissionless and leaderless consensus protocol, in which anyone can join and leave the network at any time and all nodes are equal.
FTM token
Is FTM an ERC20 token?
Fantom has an ERC20 token, but it can’t be used directly on the Opera mainnet. When you send your ERC-20 to the Fantom Wallet, it will automatically be swapped to Opera FTM.
Here’s a breakdown of the different FTM tokens in circulation at the moment
- Opera FTM: Used on Fantom’s mainnet Opera Chain
- ERC20: Exists on the Ethereum network
- BEP2: Exists on Binance Chain
Also take a look at our ERC-20, FRC-20, BEP-2 Fantom guide to understand more.
Note that Fantom Opera addresses share the same structure as Ethereum addresses (0x…), but they are not Ethereum addresses. So when a Crypto.com asks for your Fantom Opera address and sends your funds to an Ethereum that is WRONG!
Can I send ERC20 tokens to my Fantom Wallet?
Yes. On the “Receive” tab of your Fantom wallet just pick Ethereum and send your tokens to the displayed address. Your tokens will be automatically swapped to Opera FTM which allow you to stake and vote.
What’s the purpose of the FTM token?
- Securing the network
- Paying for network fees
- Voting in on-chain governance
- Additional use cases
Is Fantom compatible with Ethereum smart contracts?
Yes. Fantom’s Opera Network is fully compatible with the Ethereum Virtual Machine (EVM). It also has Web3JS API and RPC support. All smart contracts written in Solidity or Vyper, compiled and deployed on Ethereum, are fully compatible with the Opera Network.
So again we ask Why Fantom?
Current blockchain solutions make trade-offs between three components: scalability, security and decentralization. This is known as the blockchain trilemma. Fantom tackles the problem at the core: its high-speed consensus mechanism, Lachesis, allows digital assets to operate at unprecedented speed and delivers dramatic improvements over the current systems. Unlike other solutions, Fantom does not sacrifice security and decentralization in favor of scalability.
Fantom hopes to build the infrastructure for a more connected and efficient future where people will be able to take advantage of the technological breakthroughs to improve the quality of their lives.
Works with Ethereum not against it
Another reason that decentralized lending protocols are choosing Fantom to deploy to is because they already have an address to use if they work with Ethereum. As Fantom is fully compatible with Ethereum through the EVM, current Ethereum users will find it incredibly easy to also utilize Fantom. They can seamlessly port their assets to Fantom using Multichain.xyz, a cross-chain bridge that supports hundreds of tokens, and enjoy the unrivaled speed and low costs of Fantom.
https://twitter.com/AndreCronjeTech/status/1363983480674115584
