The price of the Fantom has been such a joy to watch investors in recent days as a much-needed breath of fresh air continues to spread throughout the crypto market. Bitcoin and other large-cap assets appear to be recovering well after a period of slow and frustrating price action.
Notably, Fantom has emerged as one of the top performers in the cryptocurrency market over the past week, recording a substantial price increase of 26% over the past seven days. The Layer 1 token has been particularly bullish over the last day, rising 15%.
The Catalyst Behind the Latest FTM Outbreak
Sonic’s long-awaited update was fundamental to the turnaround in the Fantom price witnessed in recent months. Sonic is expected to improve Fantom’s technology stack and introduce major scalability improvements without a disruptive hard fork.
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More recently, the Fantom Foundation revealed the details of the upcoming layer 1 Sonic Network. According to the blog post, the new blockchain network will be connected and able to leverage large amounts of liquidity, users and protocols from “Ethereum and beyond” through a native bridge layer 2.
As previously disclosed, Sonic Network is expected to go live alongside a new token, with the ticker S. In the latest memo, the project revealed that FTM token holders may migrate the Sonic token at a 1:1 ratio depending on the results of a governance vote.
The Fantom Foundation said in its latest blog post:
Initially, this migration process is expected to be bidirectional, which will allow users to switch between $FTM and $S. As the $S token will only exist on Sonic and the $FTM will only exist on Opera, we plan to use a bridge to allow bidirectional exchanges. This process allows for a seamless migration for current Opera network participants to experience Sonic. After a transition period (to be determined in the future), the migration process is expected to transition to a one-way migration from $FTM to $S.
The project noted that the supply of the new S token will match that of FTM to facilitate the token migration process after the launch of the Sonic chain. It is worth highlighting that The price of Fantom has seen a significant increase following this update on Sonic Network on May 17th.
Fantom price at a glance
At the time of writing, Fantom’s price was around $0.908, reflecting an increase of almost 15% in the last 24 hours.
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Featured image from iStock, chart from TradingView