A Fantom Resurrection Ritual

The network’s native token, FTM (used for governance, staking and transactions), reached a peak of $3.46 before crashing alongside the rest of the market.

• The Fantom community held a governance vote to divert a third of the network’s burn fees to fund a vault that would support new projects within the ecosystem.
• The vote began on the 5th of July and concluded on the 27th of July, with 99.75% of all votes cast in support of the new plan.
• Initially, the vote was due to end on the 3rd of October. However, there was a provision for early closure of the pole if the voting crossed the 55% quorum requirement.
• Fantom will fund the vault with 10% of its transaction fees, which is a third of the network’s current 30% burn fee.
• Once the new proposal is implemented, Fantom’s burn rate will fall to 20%. As the burn rate will then be lower, the total amount of FTM that is destroyed each year will be reduced.

Burning mechanics are only a part of tokenomics, and understanding how to do your own analysis will give you an edge. Check out our two-part guide to learn more: Tokenomics 101 and Tokenomics 102.