What is FTN ?

FTN is the native currency of Bahamut blockchain, a public EVM-based layer 1 solution with a novelty consensus called Proof of Stake and Activity (PoSA). FTN serves as the gas unit for Bahamut, enabling staking and block creation and validation mechanisms, as well as cross-chain operations.

Initially, FTN was emitted as an ERC-20 token that serves as a utility token for the whole SoftConstruct - a leading IT solutions provider - ecosystem, enabling users to settle all kinds of business and personal arrangements between themselves and any of SoftConstruct’s products and services.

What is Bahamut ?

Bahamut is an EVM-based, layer 1, public blockchain solution that aims to transform how distributed networks approach block rewards among network participants by adding a crucial parameter to the algorithm - activity. The activity parameter is represented by the amount of gas used by a validator's smart contract, and this amount is taken into consideration when distributing the chance to become a block proposer and earn rewards. Bahamut’s novelty consensus – Proof of Stake and Activity (PoSA) – has been developed by Fastex engineers. Currently, Bahamut has over 4200 validators, 600,000 transactions, and 200,000 FTN holders.

PoSA is a variation of PoS (Proof of Stake), which adds a new parameter called activity. This activity is represented by the total amount of gas spent by a validator-deployed smart contract, and it is taken into account when determining the chances of becoming a validator in the next epoch. Put simply, the more activity a validator has, the higher their chances of becoming a validator in the future, and the greater the rewards they can earn.

What is PoSA?

PoSA is a novel consensus algorithm that blends the strengths of PoS with an additional activity parameter. The activity parameter is calculated based on the usage of the smart contracts deployed on the network. In simple terms, the more a smart contract is used, the more impact it will have in the consensus process. This creates an incentive for contract developers to create high-quality, highly-used contracts, as they will have more impact in the network.

How does PoSA work?

In PoSA, validators (i.e., nodes that validate transactions and blocks) must first stake a fixed amount of tokens, which is 8192 for all validators, to participate in the consensus process. This stake serves as collateral, ensuring that validators act in an honest manner. However, in PoSA, the ranking of a validator is determined not only by the size of their stake but also by the activity of their smart contracts.

The activity of a smart contract is the sum of all gas used by users when interacting with the contract. The more gas a contract uses, the more active it is considered to be. This activity is then combined with the validator's stake to determine their rank.

The advantage of this approach is two-fold. Firstly, it provides an incentive for developers to create high quality, highly used contracts, which helps to maintain the overall health and security of the network. Secondly, it helps to decentralize the network, as validators with high quality, high usability contracts will have a greater influence in the consensus process.

It's important to note that even validators without activity are still important to the network, as they play a role in maintaining its security and stability.