Memecoins
Fantom invests $6.5 million for a safer, fairer coin market
At a recent event in Sydney, Michael Kong, CEO of Ghost Foundation, has unveiled an ambitious $6.5 million initiative to revolutionize the coin industry. This announcement at the MemeGlobal event on April 30 marks an important shift towards safer and more structured meme coin launches within the crypto industry.
The initiative will provide a Fantom prize pool of 10 million to support teams that adhere to the foundation’s rigorous guidelines for launching meme coins.
Fantom aims for a “safe and fair” coin environment
Kong further explained what he described as “safer coins.” He shared his vision for a successful coin project that ensures democratic distribution of tokens. This helps avoid concentration in the hands of a few large investors, which can lead to price manipulation and a reduction in market fairness.
Furthermore, he also explained the strategic importance of these companies for customer acquisition and growth.
“For us as a channel, our interest is to grow the channel as much as possible and that comes down to customer acquisition,” says Kong. declared.
Learn more: 7 Hot Meme Coins and Altcoins Trending in 2024
Michael Kong’s speech at MemeGlobal. Source: X/GhostFDN
Kong’s ideas align with the strategic vision of André Cronje, the founder of the Fantom network.
Cronje has previously expressed his commitment to creating a safer environment for communities and investors in the coin space. In a detailed blog post, Cronje guest creators to propose new coin projects.
It highlights the need for ethical content and substantial community involvement in these initiatives. This also includes a complete verification process by Cronje himself. Therefore, this will ensure that all projects are free from offensive content and do not refer to real individuals or existing projects.
Cronje’s framework for the same corner launches are designed to instill fairness and security from the start. The foundation will lock approximately 85% of each project’s tokens into a Fantom/token liquidity pool (LP). In addition, it will secure and manage them using multisig technology.
Fantom’s entry into the meme coin market is timely. Similar initiatives have spurred significant growth in other blockchain ecosystems, such as Solana. On April 15, Solana saw a rise in decentralized exchanges (DEX) activities, with a trading volume exceeding the billion-dollar mark.
However, the Meme Coin Arena has its challenges. The recent history of the Solana network serves as a cautionary tale, as the abandonment of meme coin projects has resulted in substantial financial losses for investors. A recent report found that 12 Solana-Based Coin Projects Abandonedresulting in a staggering loss of $26.7 million.
Learn more: 11 Best Solana Meme Pieces to Watch Out for in 2024
Additionally, the presence of tokens with offensive and racist themes has harmed the community, intensified surveillance and calls for stricter monitoring. This increase in the number of problematic tokens has raised significant concerns about ethical and operational standards within the meme coin space.
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