Wrapped Fantom
Crypto Overview
Purpose and Utility
Wrapped Fantom (WFTM) is an ERC-20 version of the native Fantom (FTM) token, designed to enable FTM usage on the Ethereum network. It maintains a 1:1 peg with FTM through a smart contract-based wrapping mechanism. The primary utility is to bridge Fantom's ecosystem with Ethereum's DeFi applications and services.
Business Model and Operations
The wrapping process is transparent and verifiable on-chain. When users deposit FTM, an equal amount of WFTM is minted. When WFTM is burned, the original FTM is released. This mechanism enables cross-chain operability while maintaining asset backing.
Real-World Adoption
WFTM has significant adoption within the DeFi ecosystem, particularly in cross-chain applications and decentralized exchanges. The token maintains substantial liquidity across various platforms and serves its intended purpose of enabling FTM utility on Ethereum.
Platform Development
The wrapping mechanism is well-established and functions as intended. The smart contracts have been audited and continue to operate reliably. The technology is based on proven wrapping mechanisms similar to WBTC and other wrapped tokens.
Token Distribution
WFTM's supply is directly tied to the amount of FTM locked in the wrapping smart contracts. There is no separate token allocation for founders or developers, as WFTM is purely a wrapped version of existing FTM tokens.
Crypto Impact
To assign a comfort level investing in Wrapped Fantom from a halal perspective we need to determine whether it has a net positive or negative impact.
Towards this end, the table below is used to tally all the positive and negative considerations our members can think of related to Wrapped Fantom.
If you don’t see something that should be listed, positive or negative, feel free to submit your own contribution using the button “Contribute”.
We will review your contribution for accuracy before publication.
Importantly, you can review listed contributions and vote on which one you think has the greatest impact, positive or negative.
You only have one vote per asset so use it wisely.
You can change your vote if you change your mind.