Fantom is another cryptocurrency that I see is on its way to zero. I found critical, obvious problems that you can do your own research and see within a few minutes, and I think Fantom is very obviously going to perform poorly and trend towards zero because of the things I share with you here and more.
I don't like to be out here destroying these altcoins. All right, I do sometimes. But I do this because I'm angry that y'all are getting ripped off with all these fake cryptos and narratives, and hardly anybody wants to create content like this saying why something is going to go to zero, because there's so much money in hyping stuff up. I'd rather tell you the truth. I'm angry at these cryptos ripping you all off, so let's dig right into the absolute worst part of Fantom right now. Viewers asked me to do a review on Fantom, so here is my review.
I actually held Fantom last year, and I forgot I even had it in a wallet, and I just dumped it recently. I'm glad I got out now, because it's surprising Fantom is up at all in the last year. It's like people don't see what's coming, but it's pretty obvious just looking at it quickly. Fantom did almost nothing for a couple of years, then it had the bull run insanity pump, and almost all the gains are gone from that. It had a little pump recently, but what I'm about to show you looks like a huge, obvious problem for Fantom.
The Sonic migration is the worst part
The Fantom Foundation announced Sonic Labs and an Innovator Fund. They're committing, at the current price, about a hundred million dollars worth of Fantom to accelerate migration to Sonic. You're like, what is Sonic? Sonic is essentially a new chain. Get this: Fantom is committing up to a hundred million dollars to get people to move off of Fantom over to Sonic. It's going to have a brand new chain.
This is a new chain that, just from reading what it says, is not going to nearly be as advanced as Internet Computer Protocol already is. So if you go to internetcomputer.org, this is what I'm invested in, because there's nothing that's a fraction of this good. It has a Bitcoin layer two and an Ethereum layer two with native Ethereum integration. I've done so many videos about it, but this new Sonic chain looks like it is vastly inferior to Internet Computer, and Fantom is going to dump a hundred million dollars worth of Fantom into pushing people off of Fantom over to Sonic.
So where does that leave Fantom investors? Well, basically, if you're not paying attention, it looks like your Fantom is easily going to go to zero. That's an obvious critical problem you can see within 20 minutes of doing your own research. The Sonic chain will be a layer one platform with an Ethereum layer two bridge, and it's ridiculous to say it's the first of its kind. It was designed by one person, apparently. Maybe there's a team, but it says it was designed by one guy, and his team here is led by a DeFi pioneer who is on the Sonic foundation team. So basically, two of the people listed on the Sonic team are on the Fantom foundation team page. They've spun their own blockchain up, and Fantom is going to dump huge amounts of FTM to get people to move over to Sonic. To me, this is the end of Fantom. This is the same kind of move I broke down when I covered why Fractal Bitcoin is a scaling solution nobody needs — a new thing launched to capture money instead of to solve a real problem.
Fantom was not even that good to begin with
But Fantom is not even that good to begin with. Look at the documentation and the node providers. It says it's not recommended to store wallets on managed servers, and it's recommended to only use unmanaged servers for running validator nodes. And then they list a bunch of managed node providers. You can just run a Fantom node on Amazon Web Services. This is really amazing crypto decentralization. You can even run it on Google or Microsoft or DigitalOcean. These companies already host the majority of the internet. So great job, Fantom, with the documentation recommending me to just use Amazon Web Services. We're not really concerned with decentralization here, apparently. Since when is Amazon Web Services decentralization?
And then you look in the documentation about how to do an NFT on Fantom, and it's the same old story: IPFS, and many of these IPFS nodes go right back to Amazon Web Services themselves. As Elon Musk joked with Joe Rogan, an NFT is obviously worthless if the actual resource you're buying on chain is hosted off chain, and all you've got on the chain is a link to something on IPFS. One of the richest people in the world sees that's worthless. He's not going to get into NFTs.
You've got Internet Computer to compare it to. If you don't know about Internet Computer, you can put a gigabyte on chain for just $5 a year. You can put an entire video game on chain. You can put whole videos. You can put huge amounts of code, hundreds of gigabytes of code, directly on Internet Computer, and it's stored in smart contracts directly on ICP. This is the most advanced technology in the world. Now, if this is what Sonic was launching, I might be excited. But this is my analysis based on what I'm seeing Fantom do.
Why I think the team is done with Fantom
The two people listed here, it seems like they are seeing that their profits are going to be limited from Fantom going forward. Most crypto altcoins, when they're brand new and they haven't had their bull run and there's maximum speculation, that's when they really, really go nuts. And after that, they tend to just go to zero from there. It looks like to me that the Fantom team is seeing that the Fantom blockchain itself is done, that there's no point in investing a hundred million dollars worth of Fantom into actually building the Fantom blockchain up. So they're going to move people over to Sonic, which was developed by the Fantom people.
And there are only eight people on the team here. Only eight people. I wonder if the Joe Epstein listed here is related to any of the other Epsteins, but that's a whole nother video. This new blockchain looks like it's going to have very similar properties to Fantom, with what to me appear to be very minor upgrades. But the real goal of this is to launch a brand new token, and they're going to migrate between Fantom and Sonic on a one-to-one basis.
For all the people who aren't paying attention, who are sitting there not realizing this new token is coming, all of them are going to lose everything in Fantom. So this is intended, in my view, to try and artificially manipulate the price up by screwing over everybody who's not paying attention, by screwing over everybody who doesn't migrate. All the branding for Fantom is going to get lost. These are going to be technically different blockchains. So everybody on Fantom, your actual FTM is, in my opinion, almost certainly going to zero, because if you don't migrate it over to Sonic, then you're going to lose it.
If you mess up the migration, if you forget about the migration, if you don't do it, you could just log on and see one day that your Fantom has gone to zero, and you'd have no idea. There are going to be people who have no idea that they could even swap their Fantom over to Sonic. And that, to me, I can't stand seeing that happen to investors over and over again. I've talked to some of y'all in one-on-one calls, and you've lost thousands of dollars on shady migrations like these. This is how limited the technology is, and it's the same reason I keep telling people to sell altcoins for ICP before situations like this catch them off guard. If you want to follow my full thinking on coins like this, I keep it going in my Money playlist.
Compare the technology to Internet Computer
On Internet Computer, the technology is so advanced that they've done thousands and thousands of proposals to actually upgrade the blockchain, to add functionality to it. They added ChainKey Bitcoin. They added an entire layer two to the blockchain. They added an Ethereum integration. They added two layer twos to the actual protocol. And you compare that upgrade process to Fantom, which has to launch an entirely separate chain to truly improve its technology — and this will be drastically technically inferior to what Internet Computer has already been doing for three years. There's no Bitcoin layer two in Sonic, is there?
So this to me looks slim shady, brain dead like Jim Brady, I'm an M80 — excuse me. And then you look over at their YouTube channel, and they already seem to be abandoning the Fantom brand. The last video they did, they put up a one-minute Sonic show reel, and they haven't put another video up on their channel for three months. Then they're talking Pyth Network at ETH Denver. Why are they not talking Fantom?
Compare that to DFINITY, the foundation behind Internet Computer. Look at the sheer quantity of videos they crank out, and some of these are big technological breakthroughs presented by team members. The Fantom foundation is eight people. Now look at how deep DFINITY's talent roster is. Mary presents a video showing proof of verifiable credentials, which is an amazing breakthrough feature, one of many. You can see Dominic Williams speaking. Look at all these videos on the DFINITY channel. This is what a real team that's making the best technology in crypto looks like. And Fantom, to me, is a small team whose best idea is to launch a new blockchain that looks very similar to the existing one, and screw over everybody who's not paying attention. That's the same gap I pointed out reviewing a $6 billion coin with a 404 team page — the team behind a coin tells you almost everything.
The decentralization theater
That's exactly why I get so pissed off at these cryptos acting like they're decentralized, when the cloud providers are Amazon. This is outrageous. Somebody needs to call this behavior out, but almost nobody wants to, because you get paid to talk nice. You don't get paid to tell the truth. You don't get paid to be critical. But how many times are negative reviews on Amazon helpful for you to not buy something you don't need in the first place?
If you look at a Fantom explorer, you'll see there's not even a lot happening on the Fantom blockchain right now. Look at these blocks: one transaction, one transaction, two transactions. Then look at the Internet Computer dashboard: thousands of transactions a second. It's hosting websites, like jerrybanfield.com itself. And the new Sonic blockchain, it looks like it's going to be more of the same. I wouldn't be surprised if four years from now you get the same two people launch another new blockchain and move off of that one.
My bottom line on Fantom
So this is why, in my opinion, I have very high confidence that Fantom will be going to zero very soon. The Sonic migration will destroy Fantom, and anyone who's not paying attention is going to get wrecked. That's my honest review of Fantom — to me, an absolute dumpster fire — and it's my experience and opinion, not financial advice. If you'd like to ask me to review other cryptos or talk through one of these migrations before it hits you, the best places to reach me are open chat or a one-on-one call.