Fantom launches its Gas Monetization Program, which rewards developers with 15% of the gas revenues produced by their apps. This program encourages gas efficiency and sustainability.
- The “Web2 ad-revenue model” employed by websites like YouTube and Snapchat serves as a model for the Gas Monetization Program.
- Apps that Fantom believes to be abusing the program will be suspended, ensuring equitable participation.
- Since December, Fantom has been working on the Gas Monetization Program, and to pay for it, Fantom has suggested reducing the token burn rate by 75%.
Fantom’s Program to Incentivize Developers
The “Gas Monetization Program,” a new project from the Fantom Opera network team, aims to compensate developers for the gas payments that their applications produce. This May 31 announcement demonstrates Fantom’s dedication to building a sustainable ecosystem by giving developers an additional source of income. The initiative pays qualifying developers 15% of the overall gas fees that their apps collect.
Rewarding Developers for Gas Fees
The Gas-Monetization Program is a big step for the Fantom network since it adheres to the well-liked “Web2 ad-revenue models” platforms like Snapchat and YouTube use, where content creators get paid for their work. Fantom intends to recruit additional developers and create a healthy community on its network by employing a similar strategy. Six Web3 applications have already received program approval, including ParaSwap, Beethoven X, Stargate, LayerZero, WOOFi, and SpookySwap. These applications have produced prizes worth about 12,000 Fantom (FTM) tokens, or about $3,715.
Eligibility and Application Process
While the Gas Monetization Program offers developers an exciting opportunity, not all apps can participate. For a protocol to be eligible, it must have completed at least 125,000 transactions and been operational on the Fantom network for at least three months. These specifications are designed to ensure that only well-known and frequently used applications can use the program.
The eligibility requirements have already been defined, although Fantom has admitted that they might change in the future as the Fantom Foundation assesses their efficacy. Because of its adaptability, the application can be adapted to user demands and developer community suggestions because of its adaptability.
Addressing Concerns and Ensuring Gas Efficiency
Some users voiced concern that the Gas Monetization Program may deter developers from drafting gas-efficient contracts when it was first proposed. This worry stems from the notion that rising petrol prices would provide developers access to more FTM incentives. On the other hand, Fantom disputes this idea and stresses the significance of the gas economy in keeping a competitive edge in the market.
According to Fantom, developers will still need to give gas efficiency a top priority to draw customers and maintain their competitiveness. The team clarifies that any apps thought to be abusing the system risk having their participation terminated. Fantom seeks to balance rewarding developers and protecting the ecosystem’s health by boosting gas efficiency and discouraging abuse.
Preparations and Future Plans
The Gas Monetization Program has been developing since Fantom suggested a 75% reduction in the token burn rate to fund the program in December. This tactical choice illustrates Fantom’s dedication to giving its developer community ongoing assistance. Furthermore, the team’s aim on gas reform in 2023 to attract more developers and users was verified by the announcement made in December by Andre Cronje, the director of the Fantom Foundation and a well-known decentralized financial architect.
Conclusion
Fantom’s Gas Monetization Program offers a novel way to reward developers and build a resilient ecosystem. Fantom wants to attract and keep brilliant individuals while fostering gas efficiency and healthy competition by compensating developers with a portion of the gas fees produced by their apps. The program’s execution expands on the models that Web2 platforms have found effective, further positioning Fantom as a pioneer in the Web3 market. Fantom may anticipate an environment that is more alive and prosperous as the Gas Monetization Program develops and more developers join in.
