Fantom allocated $120M in FTM tokens to Sonic Migration
The Phantom Foundation, the organization behind the Phantom platform, has announced a financial commitment to support the launch of Sonic, a new ultra-fast network.
On June 20, the Phantom Foundation announced that it is issuing up to 200 million Phantom (FTM) tokens, worth about $120 million, to help developers and companies move their projects to Sonic as part of the Sonic Labs Innovator Fund.
About money
The funds will be used to find and secure partners to help build and grow Sonic's network. These partners include developers who create apps directly on Fantom, developers who build decentralized applications (DApps), and partners who provide critical tools and services.
Phantom's announcement claims that the accumulation of FTM tokens is managed by André Cronje's treasury.
It will focus strategic grants first on applications in the Phantom ecosystem, prioritizing those with the highest interest in using Sonic technology.
Sonic Foundation
This development follows the creation of a new foundation to facilitate the launch of Sonic Chain. The Phantom Sonic Foundation oversees the management of Sonic, manages the network treasury, organizes partnerships and develops the DApp ecosystem.
According to Phantom Foundation CEO Michael Kong and the Phantom development team, Sonic will have a new Layer-1 solution and a built-in Layer 2, which directly connects the Ethereum virtual machine-compatible network to Ethereum.
Related: Fantom Seeks Multichain Liquidation in Attempt to Recover $122M in Exploits
With Sonic Chain's architecture, Sonic users will reportedly be able to tap into Ethereum's vast decentralized applications, liquidity providers and community ecosystem.
Fantom motivational story
This is not the first time the Fantom Foundation has given incentives to projects. In May, it backed the idea of ”safe memecoins” by issuing $6.5 million in FTM tokens to reward developers.
In May 2023, a new Phantom Opera Network Group program called the “Gas Monetization Program” was launched to pay developers the gas they generate from users. Specifically, the program pays eligible developers 15% of the total gas fees generated by their apps.
Cointelegraph reached out to Fantom's team for more information on Sonic Labs' funding, but has yet to receive a response.
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