Fantom’s Remarkable Performance: Key Factors Behind the Surge

By: Eliza Bennet

Fantom (FTM) has been drawing impressive attention over the past week, posting significant gains and demonstrating a surge in its total value locked (TVL). The cryptocurrency has seen a 13% increase in the last week, with its TVL momentarily touching the $200 million mark.

The rise in Fantom's price has been a refreshing sight for investors. The asset has surged by 26% over the last seven days, and notably, a 15% spike has been seen in the past 24 hours. This streak of growth is largely attributed to the long-anticipated Sonic upgrade, which aims to enhance Fantom's technology stack and introduce significant scalability improvements without disrupting the existing network through a hard fork.

According to the latest details from the Fantom Foundation, the Sonic Network will be a new Layer 1 blockchain network, leveraging a native layer-2 bridge to integrate liquidity and protocols from Ethereum and other networks. Additionally, FTM token holders will be able to migrate to Sonic’s token, ticker symbol S, on a 1:1 ratio, as determined by a pending governance vote.

Fantom's latest blog post reveals that the migration process will initially be bi-directional, allowing users to swap between $FTM and $S tokens seamlessly. This transition aims to facilitate current Opera network users’ experience with Sonic. Following a transitional period, the migration is expected to become a one-way process from $FTM to $S.