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Introduction to the Fantom governance proposal "Gas Tokenization"! AC: Fantom to become the YouTube of blockchain platforms

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Introduction to the Fantom governance proposal "Gas Tokenization"! AC: Fantom to become the YouTube of blockchain platforms

The Fantom Foundation announced its latest governance proposal yesterday - the dApp Gas Monetization Program, aiming to attract more developers to join the Fantom ecosystem by implementing a revenue-sharing mechanism similar to YouTube's ads. In response to this initiative, Andre Cronje, a key figure in Fantom, stated that the project would be carried out in three stages and declared that Fantom would become the YouTube or Twitch of blockchain platforms.

dAPP Gas Monetization Program to Attract Capable Developers

Each transaction on the Fantom network requires a certain amount of Gas fee to be paid in FTM. Currently, 70% of the Gas fee goes to node validators, while 20% is completely burned. The main purpose of this proposal is to reduce the burning rate of FTM tokens from 20% to 5%, and the reduced burned FTM will be used to reward creators and developers within the Fantom ecosystem.

The idea behind this initiative by the Fantom Foundation is inspired by Web2 social platforms like Twitch and Youtube, which have thrived due to successful content creators. These platforms monetize ad revenue to attract creators, while Fantom aims to monetize Gas, hoping that capable and innovative individuals can become a driving force for the continued development of the Fantom network and create dApps that can attract users consistently.

How Will the Extra 15% Be Allocated?

With the burning rate reduced from 20% to 5%, the extra 15% FTM will be allocated to eligible dApps based on the following criteria:

  1. dApp has completed over 1 million transactions.
  2. Has been developed on the Fantom Opera network for over 3 months.

These eligibility criteria will be reviewed and approved by the Fantom Foundation, similar to the minimum requirements of the Youtube Partner Program, aimed at preventing scams, useless dApps, and Gas earning loopholes.

The current approval rate of the proposal is as high as 100%, with the community showing optimism about the positive impact of the new mechanism on the Fantom ecosystem. If the proposal reaches a minimum voting rate of 55%, the voting will end on 12/8. However, if the proposal is successfully passed, it also means that the total burning rate of FTM will decrease by 75%, reducing the Gas fee burning rate from 20% to 5%, which may also affect price changes due to the tightening.

AC Optimistic, Project to Proceed in Three Phases

Following the release of this proposal, Fantom core figure Andre Cronje also retweeted it on Twitter, stating that this is only the first phase of a three-phase plan.

"Fantom will become the Youtube or Twitch of blockchain platforms, with phases two and three coming in a few months." Andre Cronje mentioned.