The emergence of Sonic and what it means for DeFi: Report
Fantom has transitioned to a new blockchain network called Sonic to overcome limitations related to its previous architecture. Sonic utilizes the SonicVM execution engine, which enhances speed by translating EVM bytecode into a faster format and optimizing heavy computations. It employs SonicDB, which separates blockchain state into LiveDB for current data and ArchiveDB for historical data, reducing storage needs by up to 90%. The Sonic mainnet introduces a native token, S, convertible from FTM at a 1:1 ratio, remaining non-inflationary for six months post-launch. Sonic features a Gas Fee Monetization mechanism that rewards developers with up to 90% of transaction fees. Andre Cronje is leading DeFi initiatives on Sonic, including the Flying Tulip platform, which innovates liquidity management through a dynamic bonding curve model.
