# Trending Project: Canto

*Author: Donovan Choy*
*Published: Aug 30, 2022*
*Source: https://www.bankless.com/fr/untitled-13*

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- **Ticker:** CANTO
- **Sector:** L1
- **Network:** Canto
- **FDV:** $240M
- **Hotness Rating**: 🔥🔥🔥

#### ***Tl;dr:** *A fast-growing L1 is breaking new ground in DeFi.
![](https://storage.ghost.io/c/e4/b7/e4b77544-5a37-4f0b-8824-8440aa348476/content/images/2024/02/https-3a-2f-2fbucketeer-e05bbc84-baa3-437e-9518-adb32be77984-s3-amazonaws-com-2fpublic-2fimages-2f1e3edce6-24aa-417c-a9d5-3715425a6938_1600x699.png)*Canto Lending Market (CLM) UI*
- Canto is an EVM-compatible Layer 1 blockchain built using the Cosmos SDK. [Canto is unique in that it launched with core DeFi primitives available as public goods, with these protocols having no individual governance tokens or ability to extract rent](https://docs.canto.io/overview/about-canto). These primitives include a fee-less decentralized exchange, the Canto Lending Market (CLM), and NOTE, an over-collateralized stablecoin that can be minted directly into the CLM. Canto is governed by CANTO stakers who secure the network in order to earn inflation and transaction fees.
![](https://storage.ghost.io/c/e4/b7/e4b77544-5a37-4f0b-8824-8440aa348476/content/images/2024/02/https-3a-2f-2fbucketeer-e05bbc84-baa3-437e-9518-adb32be77984-s3-amazonaws-com-2fpublic-2fimages-2fc9c0bd9e-5d93-4db3-8d23-0af916bab0e3_1560x710-png.jpg)*Canto TVL - Source: [DeFi Llama](https://defillama.com/chain/Canto)*
- Canto has experienced significant inflows over the past several weeks, with **TVL on the network soaring 8982% since August 15 from $961K to $87.4M.**
- This explosive growth has been fueled by the launch of a [liquidity mining program which went live on August 19.](https://governance.canto.io/) The program will distribute 62.5M CANTO, 6.25% of the initial supply minted at genesis, to CLM lenders over a 30-day period. [The program incentivizes both stablecoin deposits and DEX liquidity for several trading pairs](https://canto.mirror.xyz/OS-DyJmgw9PK7N5cY1txggydefYV757RM2Nnqx1yhNU), with USDC, USDT, and the LP tokens for CANTO/NOTE, CANTO/ETH, and CANTO/ATOM, NOTE/USDC and NOTE/USDT all earning rewards.
![](https://storage.ghost.io/c/e4/b7/e4b77544-5a37-4f0b-8824-8440aa348476/content/images/2024/02/https-3a-2f-2fbucketeer-e05bbc84-baa3-437e-9518-adb32be77984-s3-amazonaws-com-2fpublic-2fimages-2fcc301851-0108-437c-9c12-c82bc05f5a08_960x654.png)*CANTO/USDC Price Chart - Source: [Slingshot](https://app.slingshot.finance/trade/CANTO)*
CANTO has experienced significant volatility following the launch of the liquidity mining program, rising more than 2799% from $0.02 to as high as $0.58 between August 13 and August 18 while having since fallen 56.8% to $0.25. This initial price increase was likely fueled by yield farmers buying CANTO before incentives went live in order to maximize their rewards, while the sell-off has been driven by those farmers selling said rewards coupled with broader market weakness.

#### ***Hotness Rating (🔥🔥🔥)***
Canto is an intriguing L1 that is pushing the boundaries of DeFi experimentation. While it is unclear if the ecosystem will be able to attract long-term developers and liquidity after incentives run dry, Canto’s unique value proposition and parabolic growth make it worth keeping an eye on over the coming weeks and months.