Since the multichain exploit on July 6th, the Fantom multisig consisting of $270m FTM has decreased from $87m to $72m due to losses related to native token deprecation. As a result, Fantom’s TVL has declined $200m to $68m. Some experts believe that this is a significant blow that may be difficult, if not impossible, to recover from. In this article, we will explore the potential outlooks for Fantom and how to profit.
Negative Outlook for Fantom’s Future
Due to the rektness of many users, those who have lost trust and money are unlikely to return to the platform, especially when there are numerous alternatives available.
Multichain Fund Recovery
Some argue against selling FTM due to the potential recovery of multichain funds. However, the market is currently pricing these assets at $0.12 on the dollar, indicating a low chance of recovery. Even if the funds were recovered, the TVL and users who have left may not return to the platform.
Another argument for selling FTM is the foundation’s treasury. However, the treasury was confirmed to be hit by the multichain hack, and the remainder of the treasury is in FTM itself. Selling these tokens could further lower the price. Additionally, these funds do not belong to token holders and provide zero assurance of value. Claims about the treasury’s cash were never verifiable in the first place.
How to short Fantom – FTM?
To short FTM, you need an exchange that supports FTM derivatives trading. Create an account, deposit funds, find the FTM trading pair, and place a short order by borrowing FTM from the exchange and selling it. Monitor your position closely, set stop-loss and take-profit orders.
- Create an account on Bybit or MEXC and complete the necessary KYC requirements
- Deposit funds into your Bybit account
- Navigate to the FTM derivatives trading pair on the Bybit exchange
- Place a short order by selecting “Sell/Short” and entering the amount of FTM you want to borrow and sell
- Monitor your position closely and set stop-loss and take-profit orders to limit potential losses and secure profits
Keep in mind that short selling is a high-risk strategy and should only be pursued by experienced investors with a high tolerance for risk