Overview
Sonic is the successor to Fantom, a Layer 1 blockchain known for fast transactions and for its developer Andre Cronje, one of DeFi’s best-known builders. In December 2024, Fantom relaunched as Sonic, with faster technology and a new token: S, swapped one-for-one for the old FTM.
Sonic started strongly: in spring 2025, more than $1 billion was deposited in its DeFi apps.
How it works
- Sonic is an EVM chain, so Ethereum wallets and apps work on it.
- It confirms transactions in under a second, with very low fees.
- Fee Monetization (FeeM): apps can earn up to 90% of the transaction fees they generate, similar to how ad revenue rewards website owners.
- The Sonic Gateway bridges assets to and from Ethereum.
Collapse and leadership changes
After the incentive programs and airdrop excitement of 2025 ended, users and money left. By October 2026, DeFi deposits on Sonic were about $16 million, down roughly 98% from the peak, according to DeFiLlama.
In June 2026, Andre Cronje and co-founders Michael Kong and David Richardson stepped off the board of Sonic Labs. Matt Visser became CEO, the second CEO change in about nine months. Cronje said he led the technology but not the token migration, airdrop or incentive design, and is now focused on another project.
Sonic also launched a native stablecoin in March 2026, and its DAO approved a $200 million plan to expand into traditional finance.
The S token
| S at a glance | |
|---|---|
| Supply (Oct 2026) | about 3.9 billion S |
| Price (29 Oct 2026) | about $0.045 |
| All-time high | about $1.03 (January 2025) |
| Market cap | about $174 million |
S pays for gas, is staked to secure the network and is used in governance.
Risks
- Weak activity. Very little money is used on the chain today.
- Leadership uncertainty. Founders gone and frequent CEO changes.
- Competition. Many fast EVM chains compete for the same developers and users.
Sonic vs. the competition
| Sonic | Avalanche | Solana | |
|---|---|---|---|
| EVM-compatible | Yes | Yes (C-Chain) | No |
| Special feature | Apps earn 90% of fees | Custom L1 chains | One fast chain |
| DeFi deposits (Oct 2026) | ~$16 million | ~$590 million | ~$5.9 billion |
Our verdict
Sonic has good technology and a smart idea for rewarding developers. But its 2025 momentum disappeared, its founders have stepped back, and S has lost about 96% of its value. S is a very high-risk bet on a turnaround: invest only what you can afford to lose.
This review is for information only and is not financial advice.