On May 22, the Fantom Foundation, the organization behind the Layer-1 network Fantom, publicly announced the launch of the Sonic Foundation and Sonic Labs. These new entities will be the main structures supporting the new Layer-1 network, Sonic. The Fantom Foundation stated that the Sonic Foundation will be responsible for the network’s governance and treasury management functions. Meanwhile, Sonic Labs will support growth among dApps, partnerships, and users.
New Step from the Fantom Team
In addition to announcing the establishment of the Sonic Foundation, the Fantom Foundation also announced the successful completion of a $10 million funding round led by the Korean crypto fund Hashed. Additional investors included UOB Ventures, Signum Capital, Aave Foundation, and several angel investors. Fantom Foundation CEO Michael Kong made the following statement:
“The capital raised in the last round will only be used to support strategic growth and ecosystem development.”
Fantom announced plans to launch the Sonic blockchain at the beginning of March. The Fantom team has been working on developing the technology for the past two years and anticipates the Sonic network to be launched by late summer or early fall this year. Sonic stands out as a blockchain technology designed to process a large number of transactions quickly. The network operates as a Layer-1 network and includes a Layer-2 bridge feature that provides connections to other blockchains like Ethereum.
What’s Happening on the Fantom Front?
Fantom’s Chief Research Officer Professor Bernhard Scholz leads the team that designed this technology. Additionally, a key figure in the development of decentralized finance (DeFi) and a co-founder of Fantom, Andre Cronje, led the development team responsible for Sonic.
Sonic claims to benefit from a large amount of liquidity, users, and protocols. This capability allows the network to combine the low cost, scalability, and speed seen in Layer-2 networks for accessing the native Ethereum network and other assets on Ethereum with the security of a Layer-2 bridge.
Sonic will have a native token called S. A recently approved governance vote aligned S and will be distributed at a 1:1 ratio with Fantom’s native token FTM. However, this positive development has not yet significantly increased the price of FTM. Since Monday, the FTM price has dropped from $0.95 to $0.81.
