Fantom will donate 10% of the burn fees to various projects in its ecosystem.
The Fantom (FTM) community has passed an on-chain governance proposal aimed at supporting the continued evolution of the Layer-1 platform’s ecosystem.
The governance proposal was created on 5 July and sought the community’s approval via a vote. The Fantom Foundation reports that the vote was passed by 99.75% on Tuesday 26 July.
Voting for the Ecosystem Support Vault governance proposal has been completed.
Vote for Passed✅ https://t.co/MaDhvbrJss pic.twitter.com/w3nSKG7XBQ
— Fantom Foundation (@FantomFDN) July 26, 2022
What’s the Ecosystem Support Vault?
The Ecosystem Support Vault allows Fantom to support new projects and ideas on the Fantom Opera network via funds set aside from a percentage of the 30% transaction fees burn rate.
A proposal was made that 10% of the 30% burn fees, or one-third, will be donated to a vault run by Fantom validators.
The community will supervise the use of funds for key ecosystem projects. This will be done via on-chain governance mechanisms that ensure a decentralised approach.
Fantom, a high-performance blockchain that is fully compatible with Ethereum, has already seen more than 200 decentralised apps (dApps), deployed.
These apps can be found on decentralised exchanges (DEXs), Lending and Borrowing platforms, non-fungible tokens (NFTs), GameFi wallets, and Cross-chain bridges. Aave Finance and Alpaca Finance are the top DeFi protocols available on Fantom.
Notably, the adoption of the governance vote means Fantom’s burn rate is effectively 20%.