The Fantom Foundation Enhances Decentralization with Staking System Change
The layer-1 blockchain network Fantom has made a significant adjustment to its staking system in order to increase decentralization. The foundation has reduced the validator self-stake requirement, making it easier for more participants to join the network.
Fantom Staking More Accessible
According to the Fantom Foundation, having more validators is crucial for a decentralized network. It also makes it harder for malicious actors to launch attacks. Additionally, with more validators, transactions can be processed faster as there are more options available. The foundation believes that this change will not slow down the network as long as new validators use quality hardware.
Smaller validators can now participate with just 50,000 FTM tokens, which will contribute significantly to the ecosystem. However, this amount still represents a substantial investment at current token prices.
FTM Price Outlook
The native token of the Fantom network, FTM, has experienced a 1.4% decline and is currently trading at $0.389. It has also retraced 30% from its yearly peak in late December. Despite the reduction in staking requirements, FTM prices remain 89% below their all-time high in October 2021.
Furthermore, the staking change has not affected FTM prices, which are down 89% from their all-time high in October 2021.
Hot Take: Enhancing Network Participation and Security
The Fantom Foundation’s decision to reduce the validator staking requirement demonstrates its commitment to enhancing network participation and security. By allowing smaller validators to join with lower stakes, the foundation aims to improve decentralization without compromising network speed or security. This change opens up opportunities for more individuals to become validators and contribute to the Fantom ecosystem. While the reduction in staking requirements may still represent a significant investment, it is a step towards a more inclusive and decentralized blockchain network.
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