In order to enable Sonic, a new layer-1 blockchain with a layer-2 bridge connecting it to Ethereum, the foundation behind the layer-1 Fantom Opera blockchain said on Thursday that it was establishing the Sonic Foundation and Sonic Labs as the primary organizations. While Sonic Chain aims to create a layer-2 bridge that connects the Ethereum ecosystem, Fantom Opera is a stand-alone network that concentrates on decentralized finance. According to an email sent to CoinDesk by Michael Kong, CEO of Fantom Foundation, Sonic will be able to “withdraw funds on Ethereum independently” and will produce a proof “for every asset bridged from Ethereum to Sonic chain.”
Sonic will be “greatly superior in terms of speed and security compared to the Fantom chain. Over time, we anticipate that users and developers will fully migrate to the Sonic chain,” Kong added.
The Fantom Foundation released a press statement stating that the Sonic Foundation will oversee the management of the Sonic ecosystem and its finances.Sonic Labs will concentrate on the community for the Sonic network and decentralized apps. The Fantom team also revealed that the network will have its own native token, $S, once the Sonic chain launches, which is anticipated to happen later this year. According to them, $S will be 1:1 compatible with Fantom’s current $FTM token following a recent governance vote that codified the two tokens’ interoperability.
Fantom announced the completion of a $10 million investment round lead by Hashed, which would be used to expand Sonic’s ecosystem and product line, in addition to the news about the new Sonic entities. Only after the Sonic chain is operational will Sonic Foundation and Sonic Labs begin to operate.
“I’m incredibly grateful to our investors for their belief in our vision for Sonic and for our dedicated team for their hard work and commitment to ensuring a smooth rebranding process,” said Kong in the press release. “We will continue our legacy of efficacy, transparency, and loyalty to our community in this next stage of the protocol. ”