Funding for Sonic’s ecosystem development came from a round in which Fantom and the other new firms each contributed $10 million.
On Thursday, the organization behind the layer-1 Fantom Opera blockchain announced the formation of the Sonic Foundation and Sonic Labs. These entities will serve as the backbone of Sonic, a new layer-1 blockchain that links to Ethereum via a layer-2 bridge.
In contrast to the new Sonic chain, which aims to connect the Ethereum ecosystem via a layer-2 bridge, Fantom Opera is an independent network that concentrates on decentralized investment. Sonic will be able to withdraw cash on Ethereum independently and provide a proof “for every asset crossed from Ethereum to Sonic chain,” according to Michael Kong, CEO of Fantom Foundation, who emailed CoinDesk.
Compared to the Fantom chain, Sonic will be much faster and more secure. “We expect consumers and developers to completely switch to the Sonic chain over time,” Kong said.
As to a news statement from the Fantom Foundation, the Sonic Foundation will be in charge of the economy and administration of the Sonic environment. Decentralized apps and the Sonic network community will be the main focuses of Sonic Labs.
Meanwhile, the Fantom team has announced that the Sonic chain will launch this year with its own native token, $S. “Fantom’s current $FTM token will be 1:1 compatible with Sonic’s native token following a recent governance decision codifying the two currencies’ interoperability.”
Additionally, Fantom announced that it has secured a $10 million investment round, with Hashed as the lead investor, to support the expansion of Sonic’s ecosystem and product.
Until the Sonic chain is operational, Sonic Foundation and Sonic Labs will not formally begin functioning. In the news announcement, Kong expressed his deep gratitude to the investors who believed in Sonic’s potential and to the hardworking staff that helped make the rebranding a success. “At this next step of the process, we will uphold our tradition of efficiency, openness, and community loyalty.”
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