Fantom releases decentralized funding system called ecosystem vault

Quick Take

  • Fantom has released a decentralized funding system to finance new projects, dubbed the “ecosystem vault.”
  • The vault will get 10% of all transaction fees paid on the network, which will be granted to projects.
  • To apply for funding, projects will have to make a governance proposal and get approved via an on-chain vote.

Layer 1 blockchain Fantom has launched a decentralized funding mechanism aimed at financing blockchain projects through a community-driven governance process.

Known as the "ecosystem vault," the mechanism provides an opportunity for projects to secure funding in their efforts to build dApps on Fantom, an official blog post explained. It provides a way in which developers can obtain capital without relying on intermediaries or external sources of finance.

The ecosystem vault will get 10% of transaction fees paid on the blockchain in FTM — the blockchain’s native asset which is controlled exclusively by FTM stakers. The decision to fund this vault was passed in July 2022.

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