Fantom (FTM) has gained by 26% during the past week, according to CoinGecko. While some of these gains are being erased following the recession in the market during the past 24 hours, FTM is still up from its weekly low of $0.307.

At the time of writing, FTM was trading at $0.422. The token had hit an all-time high of $3.46 on October 28 last year, but it has since erased these gains, and it is down by 87.8% from this ATH.

Cronje’s speculated return to Fantom

Early this year, Fantom witnessed a notable plunge in price and total value locked (TVL) after some of the core developers of the network announced their departure. Andre Cronje was one of the key people that announced their departure from Fantom.

However, the Fantom community has become optimistic that Cronje will be coming back to the project. Cronje is deemed one of the most reputable developers in the decentralized finance (DeFi) space. When he announced he would leave the project in March, FTM tanked sharply.

It is believed that Cronje has gone back to the fantom network after he was spotted coding on the chain. The return of Cronje to the Fantom network could trigger major gains for FTM, despite the market is bearish.

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Cronje has also submitted an optimization proposal for the fUSD stablecoin to solve the depegging issue witnessed with the coin on May 20. Cronje is also believed to be investing in FTM after a wallet address believed to belong to him bought over 100M FTM tokens during the past two weeks.

Fantom ranks as one of the best DeFi blockchains, but with news of Cronje leaving, the network’s rank by TVL dropped. If Cronje is back to being a contributor to the chain, developers could gain more confidence in the protocol, making notable gains.

Fantom secures new partnerships

The other major development within the Fantom network is strategic partnerships that also drive value. A series of new protocol updates and new partnerships have also helped drive value that has boosted the value of Fantom.

One of the strategic upgrades is the launch of Snapsync. This feature makes it easier for new nodes to join the network. With Snapsync now rolling out on the network, the time taken to sync new nodes on the network will drop from 24 hours to seven hours. Reducing this time will boost the network reliability, boost scalability and promote a higher level of decentralization.

The Fantom network is planning the launch of Gitcoin. The launch will streamline the process of receiving grants to boost the growth of the Fantom ecosystem. Gitcoin could see new tokens launching on the network, which could drive value for FTM, triggering major returns for those who invest in FTM.

Fantom also recently rolled out a strategic partnership with Unmarshal and XP.Network. Unmarshal is a provider of the Web3 infrastructure, and it announced it will integrate its indexing service with the Fantom network. This will give developers better access to on-chain organized and granular data.

The partnership between the XP.Network and Fantom will also allow users on the network to bridge non-fungible tokens (NFTs) between different blockchains. The supported chains include Ethereum, BNB Smart Chain, Elrond, Aurora, Tron, Avalanche and Velas.

The launch of the fUSD stablecoin

Stablecoins have had a rough past few weeks following the collapse of the Terra USD (UST) stablecoin. Fantom’s native stablecoin, fUSD, suffered a major depegging that left its value way below the $1 mark.

The release of the fUSD stablecoin was one of the most beneficial developments within the Fantom ecosystem during the past few weeks. fUSD is the first native stablecoin on the Fantom network, and with the stability it offers to developers within the network, it could promote the adoption of the blockchain by developers.

FTM has recorded a major depegging, and its price is yet to reclaim its peg. During the past 24 hours, the value of fUSD has dropped by 2.9%, and it was trading at $0.694. However, despite this depegging, the community is still optimistic that the peg will be attained, as Cronje is working on boosting the stability of the network.

The collapse of UST has triggered a debate about the difference between algorithmic stablecoins and over-collateralized stablecoins. The Fantom Foundation posted an update on May 20 about the maximum collateral needed and the minting cap for every form of collateral asset used. The foundation also allocated an 11.3% staking reward for fUSD.

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