There are currently more than 20,000 different blockchains. All these different networks are competing to claim a share of the ever-growing market. However, there is a good chance that the vast majority of these crypto projects will eventually fail. Especially during periods when the prices of almost all cryptocurrencies are deep in the red.
Fantom CEO
That said the CEO of Fantom (FTM), Michael Kong, in an interview with Decrypt. He believes it is absolutely possible to have quite a few crypto networks that can coexist. However, he expects that eventually there will be no more than 20. That would mean that only 0.1% of all existing blockchains will not go under sooner or later.
“I think in the future you might not have 20 or 30 different chains… but I think you’ll only have a few more chains, and I think they’re going to get a big market share,” Kong said. “People are using multiple different blockchains, that’s the case today, and I think it will continue to be that way in the future.”
The battle with Ethereum
Launched in 2019, Fantom is a layer-1 blockchain that aims to provide an alternative to the high costs and slow speeds that Ethereum users often complain about. Layer-1 protocols such as Bitcoin (BTC), Ethereum (ETH) and Solana (SOL) use their own blockchain, allowing applications to be built back on top of their protocol.
Kong expects its own Fantom blockchain to compete with the Ethereum network. He indicates that this network will have to contend with high transaction costs and low capacity for a long time to come. That allows Fantom to take full advantage, according to Michael Kong.
According to Kong, the merge was also quite a disappointment for many. Many people thought that during this update, the problems related to transaction costs were finally addressed.
Michael Kong, of course, hopes that his Fantom network will be one of the remaining networks in the future. We’ll have to wait and see whether that will actually be the case.