Solana

Base

April

Fantom

Foundation

Layer-1 blockchain Fantom is pushing the idea of “safer memecoins” by setting aside $6.5 million worth of its native FTM (<a href="https://cointelegraph.com/fantom-ftm-price-index">FTM</a>) token as a reward to devs as it tries to get a slice of the nearly $50 billion sector.
Fantom Foundation CEO Michael Kong told Cointelegraph he wants to create "an environment where people can launch what we call ‘safer memecoins’” and introduce technical and non-technical measures to ensure projects aren’t “just an outright rug or scam.”
Solana and Coinbase’s Ethereum layer 2 Base have <a href="https://cointelegraph.com/news/trader-earns-23-million-profit-solana-memecoin-trading">seen the bulk</a> of the recent memecoin trading craze with trading volumes on Solana even <a href="https://cointelegraph.com/news/solana-activity-flips-ethereum-memecoin-frenzy">surpassing Ethereum’s</a> at the peak of the memecoin rush in March. 
However, Cointelegraph Magazine found as many as <a href="https://cointelegraph.com/magazine/base-meme-coins-scams-vulnerabilities-honeypot/">one in six memecoins</a> on Base were scams and at least 12 sizeable meme-based projects on Solana — which raised a combined $26.7 million — were <a href="https://cointelegraph.com/news/12-solana-presale-memecoins-abandoned-after-one-month">quickly abandoned</a> by their creators.
In a bid to attract memecoin traders to Fantom, Kong announced during the April 30 MemeGlobal event in Sydney that the Fantom Foundation was setting up a 10 million Fantom (<a href="https://cointelegraph.com/fantom-ftm-price-index">FTM</a>) prize pool — worth $6.5 million — to memecoin teams.
“The memecoin phenomenon that exists right now is a method for us to acquire a lot of customers because we’ve seen that be successful with other chains and we want to replicate that success,” Kong said.
“For us as a chain, our interest is to grow the chain as much as possible and that comes down to customer acquisition,” Kong added.
<blockquote>
 “In the end, it’s about what the customer wants. If the customer wants DeFi, give them DeFi. NFTs? Give them NFTs, and when it comes to memecoins, give them memecoins — or at least an environment that allows people to develop memecoins in a safe manner.”
</blockquote>
Kong described a successful memecoin as one with a “democratic launch where you release a lot of tokens to give to the community” and aren’t “heavily concentrated in a few whales or a few bags.”
<figure>
 <img src="https://s3.cointelegraph.com/uploads/2024-05/f82ab52e-e07c-4ad3-bb30-c897b827a68d.jpg">
 <figcaption style="text-align: center;">
 Michael Kong speaking on a panel at MemeGlobal Sydney. Source: Jesse Coghlan/Cointelegraph
 </figcaption>
</figure>
The Foundation’s co-founder Andre Cronje <a href="https://andrecronje.medium.com/safer-community-meme-coins-9cda6f882c59" target="_blank" rel="noopener nofollow">proposed</a> measures for safe memecoins earlier in April including memecoin devs issuing their token with the Fanton Foundation as a co-controller of the token’s startup liquidity.
Related: <a href="https://cointelegraph.com/news/new-profitable-memecoins-crypto-vc-founder-dogecoin-politics">Crypto VC sees a ‘new class’ of profitable memecoins this cycle</a>
Cronje also proposed the token supply split — 5% to the team and 10% for marketing that’s locked in a multi-sig wallet needing at least one Foundation member as a co-signer.
The remaining 85% would be placed in an FTM paired <a href="https://cointelegraph.com/explained/defi-liquidity-pools-explained">liquidity pool</a> (LP) with the Foundation pitching in 100,000 FTM — worth around $65,000 at current prices. 
“Should the FTM in the LP token reach at least 2,000,000 FTM, the original provided 100,000 FTM (5%) will be removed to cover the initial cost and the rest of the LP will be burned,” Cronje wrote.
Fantom is the 38th largest blockchain network with a total value locked (TVL) of $108.3 million, <a href="https://defillama.com/chains" target="_blank" rel="noopener nofollow">according</a> to DefiLlama. For comparison, Solana and Base are respectively the fourth and sixth largest by TVL.
Magazine: <a href="https://cointelegraph.com/magazine/base-meme-coins-scams-vulnerabilities-honeypot/">1 in 6 new Base meme coins are scams, 91% have vulnerabilities</a>

Fantom bets on ‘safer memecoins’ with launch of $6.5M dev fund

Cointelegraph

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