The decentralized finance apps of Fantom have witnessed a surge of around 55% in September 2024.
From September 1 to October 1, the daily active addresses marked a significant increase of 162%
On October 2, the Fantom Utility Token (FTM) was found to be on a 70% rise as compared to the last month. Reports claim that the reason for the rise of FTM could be the rebound which laid its first stone on September 6.
Keeping the data into consideration from the CoinMarketCap, At the beginning of the rebound the price was $0.3574 which went to $0.7642 witnessing a four-month high on October 1.
The New Update
The reason for this sudden change is being directed towards the Sonic upgrade which can happen anytime before this year-end. The new Sonic upgrade comes with the benefit of improving the network’s performance based on Fantom Virtual Machine (FVM).
It will be supported by the Lachesis consensus mechanism and Carmen database storage systems. The update will enable a number of around 2,000 transactions in just one second. Users can experience a high-speed transaction in the blink of an eye.
The current speed supported by the system is only 30 transactions per second. Sonic Labs was also transformed on August 1 in compliance to meet expectations of upcoming upgrades. The native token FTM is also going to be replaced by a new token ticker $S by this November or December.
The S token is said to be made in a way that it will provide seamless initial community distribution with the help of airdrop, staking processes as well as fresh user incentive programs. The shift from FTM tokens to S tokens in a ratio of 1:1 was approved by the Fantom community this year. The upcoming update has brought the investor’s interest back in Fantom’s world.
Monitoring The Data
Source: The CoinMarketCap
If we closely monitor the data, the decentralized finance apps of Fantom have witnessed a surge of around 55% in September 2024 which accounted for around $108.8 million. The peak attained by this ecosystem was $7.93 billion marked two years ago.
The rise of total value locks represents growth in user interaction with the blockchain as the platform is providing a seamless interface leading to a rise in the number of daily active users and their activities.
The daily active users operate with their daily active addresses which is their own unique address used to make a clear transaction over blockchain in a specified time frame. In the time frame of just one month i.e, September 1 to October 1, the daily active addresses marked a significant increase of 162%.
As the daily active addresses have risen, the number of daily transactions has increased by 66%. The increase in the daily traffic of this ecosystem clearly shows that the users are getting a seamless experience with fewer problems. And this high demand is pushing the price upwards as it is grabbing the attention of newbies as well as long-time investors.
A Quick Look Over FTM
Source: The CoinMarketCap
Fantom is a smart contract platform that gives DeFi services to developers through its own mechanism. The platform also accounts itself for solving issues linked with the smart contract platforms
At the press time, FTM stands at $0.6053 with a market capitalization of $1,696,945,491 and trading volume (24 hrs) of $361,364,539. The token has a circulating supply of 2,803,634,836 FTM and a total supply of 3,175,000,000 FTM.
After attaining a decent surge on October 2, the token is in a declining state for today. There could be various reasons driving this state also.