Interpreting the Fantom Upgrade: New L1 Network Sonic Network+, Parallelized EVM+, and Native Token S – A New Combination
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Interpreting the Fantom Upgrade: New L1 Network Sonic Network+, Parallelized EVM+, and Native Token S – A New Combination
A Quick Overview of Recent Major Developments in the Fantom Ecosystem
Navigating Web3 tides with focused insightsAuthor: Ash from Signum Capital
Translation: Wenser, Odaily Planet Daily
Editor's Note: On May 18, members of the Fantom community launched a series of governance proposals regarding the Sonic Network. Key points include: Sonic will be a brand-new L1 chain, natively bridged via an L2 bridge to Ethereum and other chains. According to the first governance vote results, FTM holders will be able to migrate their tokens 1:1 to Sonic’s native token S at genesis. With this new bridging architecture, Sonic aims to deliver superior performance for users and DApp developers compared to the existing Opera network. Fantom Operations Ltd will continue supporting Opera with validators, while Sonic Operations Ltd will support Sonic. The Fantom Foundation will also allocate hundreds of millions of dollars worth of FTM from its treasury to fund Sonic’s ecosystem development, including marketing, business development, and migration grants.
With AC’s return and previous support for meme coins within the Fantom ecosystem, Fantom may become the next destination for capital inflow. In light of this, Odaily Planet Daily has translated Signum Capital investor Ash’s latest insights on the Fantom ecosystem to provide readers with a comprehensive understanding.
Fantom's Moment of Revival
Fantom is a Layer 1 blockchain network designed to address scalability and transaction limitations—such as cost issues faced by mature networks like Ethereum. Launched in December 2019, Fantom positions itself as a high-speed, low-cost alternative for developers building dApps and users interacting with DeFi protocols.
Unveiling the Sonic Network
Previously, @FantomFDN revealed more details about the Sonic Network. In short, the key points are:
A new L1 blockchain, Sonic Network, featuring significantly enhanced performance and an L2 bridge to Ethereum (to unlock greater liquidity);
Parallelized EVM (borrowing the popular narrative from networks like Sei and Monad);
A new native token, S, allowing users to exchange FTM for S at a 1:1 ratio (with a two-way bridge);
The Fantom Foundation committing at least $100 million worth of FTM tokens to support ecosystem development;
An airdrop campaign (staking-based incentives for Farmers).
Note: The above requires governance voting (i.e., implementation only upon approval).
Fantom Upgrade: From Opera to Sonic
Fantom’s Sonic upgrade is expected to revive on-chain activity within the ecosystem. Key improvements include:
(1) A new virtual machine;
(2) An improved database;
(3) Optimized consensus.
Main features include:
Fantom Virtual Machine (FVM): Up to 65x higher execution performance than EVM, with significantly increased TPS;
Carmen Database Storage: Reduces node storage requirements by up to 90%, simplifying data retrieval;
Enhanced Lachesis Consensus: Improves transaction pool performance for collecting user transactions.
Sonic vs. Opera Network Comparison
Advantages post-upgrade include:
2,000–10,000 TPS (depending on complexity of operations);
Sub-second finality;
For developers, ability to monetize up to 90% of gas (previously only 15%).
For detailed testnet performance information, refer to the official blog. Additionally, @HalscionRose, Fantom’s Ecosystem Growth Lead, demonstrated how to test Sonic’s new chain performance in a tweet.
Other important upgrades include:
Cross-chain functionality with minimal-trust bridges;
Liquid staking opportunities (inflows into LSD TVL);
Improved grant programs to attract more developers and opportunities to join Sonic Labs (mentored by Fantom founder AC @AndreCronjeTech);
Incentives for both Opera network and new on-chain users (possibly liquidity mining rewards?);
Parallel FVM (one of today’s most favored narratives—blockchains with parallel execution);
Standardized stablecoins (e.g., USDC.e backed by Circle and Wormhole), potentially paving the way toward a native stablecoin.
Network upgrade status can be checked here: https://fantom.foundation/sonicStatus.
Sonic Upgrade Progress
Understanding the Fantom Ecosystem Landscape: Finding Your Position and Preparing
To summarize briefly, the current Fantom ecosystem includes the following roles:
a) Major Wallets
• @MetaMask
• @CoinbaseWallet
• @Rabby_io
b) CEXs where FTM can be withdrawn
• @binance
• @okx
• @gate_io
• @kucoincom
c) Blockchain Explorers
• https://ftmscan.com
• https://explorer.fantom.network
d) DEXs
• @SpookySwap
• @Equalizer 0x
• @beethoven_x
• @ShadowDexFi
• @WigoSwap
• @Spirit_Swap
• @SushiSwap
• @CurveFinance
• @SolidlyLabs
• @fraxfinance
• @VelocimeterDEX
• @YoshiExchange
e) DEX Aggregators
• @paraswap
• @1inch
• @polterfinance
• @TarotFinance
• @YoshiExchange
f) Lending Platforms
• @aave
• @HundredFinance
• @ichifoundation
• @TarotFinance
• @DebitaFinance
• @fMoneyMarkets
• @polterfinance
g) Yield Aggregators
• @beefyfinance
• @yearnfi
• @Reaper_Farm
• @PumpkinFTM
h) Derivatives Trading Platforms
• @ThetanutsFi
• @Lynx_Protocol
• @mummyftmfi
i) Meme Coins
• @theFantomgoat
• @TinHat_Cat
j) NFT Marketplaces: @paint_swap
k) GameFi/GambleFi
• @EstforKingdom
• @plusdotbet
• @Froqorion
l) SocialFi: @ThunderDomeFTM
m) Launchpad Platforms
• @dxsale
• @pinkecosystem
• @ftmlaunchpad
• @fantomstarter
• @TailsFTM
n) Liquid Staking
• @ankr
• @beethoven_x (Stader)
• https://fantom.foundation/staking
o) Telegram Bots: @MuttskiFTM
p) Token Data Platforms
• https://dexscreener.com/fantom
• https://geckoterminal.com/ftm/pools
q) Data Analytics Platforms
• https://ftmscan.com/charts
• https://fantom.foundation/sonicStatus
• Signum Capital Dune Dashboard: https://dune.com/signum_capital/fantom
• Hashed Dune Dashboard: https://dune.com/hashed_official/fantom
• Coingecko: https://coingecko.com/en/coins/fantom
• Defillama: https://defillama.com/chain/Fantom
• TokenTerminal: https://tokenterminal.com/terminal/projects/fantom
Insights Behind the Dune Data
@Lolipopsicles from @Signum_Capital prepared a Dune dashboard. Based on this, we can observe some very healthy metrics for the Fantom ecosystem:
• TVL increased by $80 million since February 2024;
• $7 million in DEX trading volume over the past 24 hours;
• 175,000 transactions completed in the past 24 hours;
• 19,000 active wallet addresses in the past 24 hours.
View the Dune dashboard here: https://dune.com/signum_capital/fantom.
Dune Dashboard
Personal View: Mixed Prospects for the Fantom Upgrade
Regarding the Fantom network upgrade, the ecosystem’s main advantages include:
• The Sonic Network upgrade (parallel FVM + upgraded L1 chain + newly created native token);
• Rebranding brings a fresh look—new visuals, new blockchain, new token (similar to Antshares becoming Neo, Merit Circle becoming Beam, Ribbon becoming Aevo);
• The Fantom Foundation and AC demonstrate willingness to revitalize the ecosystem and steer it back on track, rather than idling (unlike many dead L1s with full treasuries but no action);
• Interesting consumer apps and native DeFi projects are being built, making the on-chain ecosystem promising again;
• Healthy incentive programs (foundation grants + on-chain user rewards) attract developers and increase TVL—essentially acting as marketing budgets for user acquisition;
• Potential listings on additional CEXs beyond Binance (e.g., Coinbase, Upbit), similar to cases like RNDR and MNT.
On the flip side, the upgrade also reveals existing challenges:
• Current on-chain metrics for Fantom Opera (active users, TVL, deployed contracts) remain weak;
• To my knowledge, there hasn’t been a successful precedent for launching a new native token on a new L1;
• More NFT/GameFi developments are needed—the ecosystem previously focused too heavily on DeFi and Ponzi-like schemes (e.g., Tomb Finance, Solidly ve(3,3));
• Users still carry trauma and fear from past cross-chain bridge attacks;
• Emerging L1/L2 ecosystems like Blast, Scroll, Berachain, and Monad will continue to fragment attention.
Additional Information
Additional links related to the Fantom ecosystem:
• Foundation X account: https://x.com/FantomFDN
• Website: https://fantom.foundation
• Documentation: https://docs.fantom.foundation
• Fantom Sonic: https://fantom.foundation/sonicPage
Key individuals to follow:
• @michaelfkong
• @AndreCronjeTech
• @Quan 6888
• @juanaxyz 00
• @Nick_SR 5
• @HalscionRose
Bullish trading accounts on FTM:
• @smartestmoney_
• @HsakaTrades
• @OuroborosCap 8
• @Pickle_cRypto
• @CryptoCaligh
• @0x Anteater
Conclusion: Fantom May Be Undervalued—Let’s Watch Its Future Together
Fantom seems to be a "hated" token, as many remain skeptical about whether a "dead" L1 can truly revive.
But Ash personally believes the Sonic upgrade is bullish due to its promised high performance, new native token, potential chart momentum, and nine-figure funding allocated for ecosystem incentives. Currently, marketing exposure remains limited—Fantom is undervalued, and most will continue to overlook it until they have to buy in at much higher prices.
Disclosure: Signum Capital and Ash himself hold FTM tokens.
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