Fantom Blockchain to Release Version 2 of fUSD Stablecoin

The migration from version 1 will result in liquidations of any positions where fUSD debt is equal to or greater than the FTM backing it.

AccessTimeIconJan 30, 2023 at 10:09 a.m. UTC
Updated Jan 30, 2023 at 3:44 p.m. UTC
10 Years of Decentralizing the Future
May 29-31, 2024 - Austin, TexasThe biggest and most established global event for everything crypto, blockchain and Web3.Register Now

Blockchain platform Fantom plans to introduce version 2 of its fUSD stablecoin to provide a more predictable and budget-friendly system for builders, partners and users, developers said in a post over the weekend. They didn't give a timeline for the release.

The new version will allow the stakeholders to allocate fees in either fantom (FTM) or fUSD and to predict future costs based on usage, the developers said. It will allow programmers to build additional institutional products for users and provide a more consistent system for planning and budgeting for grants.

Stablecoins are tokens pegged to fiat currencies, such as the U.S. dollar, and are often backed by a token or a basket of other tokens.

Fantom users can use their FTM to mint fUSD and access decentralized finance (DeFi) applications built on the system, such as those for lending, trading and borrowing. The migration to the new fUSD will result in the liquidation of any positions where fUSD debt is equal or greater than the FTM backing it. Liquidation happens when a trader has insufficient funds to keep a leveraged trade open.

To help users close out their positions, Fantom has built a swap tool that allows users to swap the DAI stablecoin to fUSD and settle their outstanding debt.


Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

CoinDesk is an award-winning media outlet that covers the cryptocurrency industry. Its journalists abide by a strict set of editorial policies. In November 2023, CoinDesk was acquired by the Bullish group, owner of Bullish, a regulated, digital assets exchange. The Bullish group is majority-owned by; both companies have interests in a variety of blockchain and digital asset businesses and significant holdings of digital assets, including bitcoin. CoinDesk operates as an independent subsidiary with an editorial committee to protect journalistic independence. CoinDesk employees, including journalists, may receive options in the Bullish group as part of their compensation.

Shaurya Malwa

Shaurya is the Deputy Managing Editor for the Data & Tokens team, focusing on decentralized finance, markets, on-chain data, and governance across all major and minor blockchains.

Learn more about Consensus 2024, CoinDesk's longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to to register and buy your pass now.

Read more about