Batasm Protocol is a fork of the successful DeFi project Fantasm.finance, aimed at developing and popularizing synthetic tokens for multiple L1 Ecosystems. BSM is the protocol utility token (on Fantom Opera) that also rewards its holders with 100% of generated protocol fee revenue. The FTM token is deposited into the protocol when a user mints BFTM token, while the BSM token which is used for minting is burned. When the user redeems BFTM tokens, the protocol pays back FTM tokens and mints the required amount of BSM tokens.

The ratio of FTM and BSM tokens used by the minting and redeeming function of the Batasm protocol is determined by the Collateral Ratio. These mechanisms are described with examples in more details in the next pages of our documentation. Each minting and redeeming of synthetic assets like BFTM on Batasm incurs a 0.50% and 0.50% fee, respectively. These fees are distributed as FTM and BSM dividends to users who lock their BSM on the platform.