By
Kseniia Klichova
April 22nd, 2024
Fantom, the world’s first DAG-based smart contract platform, is about to become a next-generation alternative to blockchain.
While blockchain technology continues extending across various business fields and areas of life, the amount of data, as well as the number of transactions processed per second, grows in progression. This means that the demands for higher levels of data storage security and transaction systems scalability are growing as well.
Blockchain has always been valued for its linear structure and ability to access every record in the ledger. This provides secure storage of transactions, but unfortunately, limits scalability when it comes to storing huge amounts of data.
Fantom, the world’s first DAG-based smart contract platform, has come to the idea of increasing the transactions speed at almost no cost and without lowering the security level. Known as the new “Korean EOS”, it was officially launched in the first quarter of 2018 with the goal of creating compatibility between transaction bodies worldwide.
The company’s technology and the strong partnerships it is forming could offer a solution to some of the current problems associated with blockchain and help to expand the role of cryptocurrencies in daily life.
First of all, lets figure out, what this innovative technology is and what makes it different from blockchain. DAGS, or Directed Acyclic Graphs (DAGS), represent themselves data structures that involve a different arrangement of data that allows for faster transaction speeds and more scalability.
Fantom’s application of DAG-based smart contracts means verifying and processing of transactions is done in a non-synchronized way, eliminating the bottlenecks and delayed approval found when using blockchain technology. Using their proprietary OPERA software, Fantom is estimated to be able to handle up to 300,000 transactions per second.
Fantom is based in Korea, a hub of cryptocurrencies, and has already formed some strong partnerships with exciting possibilities. Fantom’s CEO, Dr. Ahn Byung Ik, is well-known in Korea due to a widely-used restaurant rating app he developed and his presidency of the Korea FoodTech Association, an organization of over 90 food tech member companies.
Fantom and POSBANK, the leading POS provider in Korea, are collaborating on a project in the food tech industry. They want to introduce smart contract payments at 5,000 restaurants in South Korea. POSBANK operates in over 80 countries and considering its existing client base and network, integrating Fantom technology could result in a large population using cryptocurrency on a familiar, convenient platform.
Dr. Ahn Byung Ik says they are planning to launch their offline store payment service by the end of the year. The plan is to enter foreign markets too, beginning with Indonesia.
Fantom also has industry giants SBCK (a subsidiary of SoftBank Korea) and Oracle Korea as major strategic partners and recently made a presentation in Oracle Korea’s headquarters in Seoul.
In October last year, Fantom announced a strategic alliance with Danfoss, a multi-billion dollar Danish company. The company heavily invested in solar and wind power, and its distribution network for solar inverters operates across 27 different countries. The resources of Danfoss, coupled with Fantom’s technology, have the potential to transform peer-to-peer energy systems.
Fantom has a commitment to sharing knowledge and educating people about blockchain technology and cryptocurrencies. It has offered a research grant and support to the University of Sydney for a specialized blockchain project focused on low-energy, safe, secure programming toolchains.
It will also be collaborating with the University of Stellenbosch, the oldest public research University in South Africa, to serve as a knowledge and education hub for blockchain technology.
With strong partners, Fantom technology has endless possible uses in fields such as telecommunications, food technology, electricity, insurance, banking, and financial services, logistics, and real estate.
Earlier this month, Fantom was just listed on BitMax.io, a popular digital asset exchange. It currently operates using Ethereum ERC20 tokens but this will change at the MainNet launch. Tokens will be used as payments for transaction fees, rewards for nodes and rewards for contributing to the ecosystem.
As Ariel Ling, Co-founder and COO of BitMax.io, has commented to the partnership:
“I met Fantom CMO Jake Choi last October in Seoul and we had an in-depth discussion about their improvement on distributed ledger platform and various commercial applications of Fantom Pay.
I was very impressed that Fantom and BitMax.io share a similar vision about creating a financial ecosystem that builds on a high-performance, scalable and yet low-cost platform. More importantly, we both are striving to drive innovation and lead the future of our respective industries.”
Jake Choi, Fantom’s CMO, has also demonstrated his enthusiasm about the collaboration:
“We are thrilled to collaborate with BitMax.io to provide the traders of the FTM token to buy and sell in a highly liquid and user-friendly environment. We believe that BitMax.io is taking great steps in ensuring its success as an exchange, and we are glad to take part in this process.”
Due to its next-generation technology, Fantom is now busy developing strong partnerships, while many stakeholders in the blockchain space are watching its progress. The team is heading towards their MainNet launch in the third quarter of 2019.