Fuse Network has made significant strides in Q3, 2023, particularly in making Web3 payments mainstream. As we delve into the fourth quarter of this year, it becomes evident that blockchain-powered payments are taking center stage, redefining how we transact, invest, and interact with digital assets.
Launched as an Ethereum-compatible blockchain, Fuse Network has evolved into a robust ecosystem that fosters innovation in Web3 payments, DeFi, and NFTs (Non-Fungible Tokens) for small to medium-sized businesses. Its commitment to user-friendly experiences and a business-first approach has set it apart.
Fuse Network’s Q3 update and Q4 lookahead underscores the importance of Web3 payments in shaping the future of finance. With DeFi integration, low transaction costs, instant settlements, and a commitment to accessibility, Fuse Network is not just keeping up with the times—it’s setting the pace for a Web3-powered world.
In Q3 2023, Fuse Network made significant progress in advancing Web3 payments, positioning itself at the forefront of blockchain-powered financial innovation.
2023 Q4 Lookahead & Q3 Highlights
- Powering Web3 payments at Mystic Valley Festival
- Chromepay and Fuse solving Africa’s identity crisis
- Fuse Ignite Funding & Grants
- Network Growth
- Ecosystem Growth
- Team Expansion
- Industry Impact
- Fuse Ambassador Program: Fuse Force
- Community Growth
- 4th Birthday Celebrations
- Summary
Fuse 2.0 Update – The Decentralized Consumer Stack
Since releasing the Fuse 2.0 roadmap, we have seen an influx of announcements and builders join forces in creating the decentralized consumer stack through ERC-4337, released last April. Since then, our roadmap has been adjusted to ensure we migrate to ERC-4337 as early as possible and revamp our stack to support the new standard natively.
We better understand companies’ obstacles to onboard real-world consumers to the Web3 stack. The Fuse Network was built bottom-up to enable businesses to use Web3 as an alternative to traditional payments and banking infrastructure. This starts first and foremost with the business model behind the network.
This paves the way for Fuse to become the first incentivized bundler network and improve blockchain usability for businesses through a new business model enabled by the FuseBox and ERC-4337 Account Abstraction.
Implementing Account Abstraction
Account abstraction is a feature in blockchain technology that separates the sender’s address from the underlying logic of a transaction, offering enhanced flexibility and capabilities for smart contracts and transactions.
Etherspot’s Skandha Bundler has integrated with the Fuse Network, enabling Fuse to become an ERC-4337 Account Abstraction-enabled EVM chain. This integration brings account abstraction technology to the Fuse Network, allowing developers to create specialized applications using Fuse’s non-custodial Smart Contract Wallet stack.
Alongside this, JiffyScan’s extension of its Account Abstraction Explorer to the Fuse Network aims to support Fuse dApp developers in making informed decisions related to Account Abstraction technology, enhancing the network’s capabilities.
2023 Technical Roadmap Update
We have been working on and reflecting changes in the roadmap due to the migration to Account Abstraction (ERC-4337) and new Fuse 2.0 updates.
Q2, 2023
- Release the new Fuse mobile SDK – Live.
- Launch API Service – Live
- The WooCommerce Payment plugin is available for the WordPress store – Live
- Fuse Improvement Proposal (FIP) for Power Validators – DONE
Q3, 2023
- Fuse Improvement Proposal (FIP) for Tokenomics upgrade. We will share details in the FIP – DONE
- API Service improvements – DONE
- New Operators module – Operators will cover user and merchant fees.
- Smart contract wallet upgrades.
- EIP-4337 – Account Abstraction compatibility.
- Web SDK version for the JS ecosystem (including extensions like Social logins and on/off ramp support) – STARTED
Fuse Improvement Proposal (FIP) for consensus upgrade (Beacon chain) – Updated the plan - Fuse open-source mobile wallet upgrade to new SDK – STARTED
- Launch native Fuse Token Bridge.
Q4, 2023
- Release Fuse Console
- Launch FuseBox
- Power Validators (PVs) – Milestone 1. The first PVs get paid through Paymasters.
- Safe app upgrade
- Fuse explorer migration
Q1, 2024 *
- Consensus Upgrade is live if the proposal passes in Q2.
- Power Validators – Milestone 2. Adding more services.
- Integration of liquid staking with Power Validators.
- FIP for privacy layer tokenomics upgrade proposal.
- Contract-powered recurring payments.
*Changes may occur
Fuse Network Moving from L1 to L2
We subscribe to the modular blockchain thesis that, over time, we will see less “monolithic” blockchain designs and much more flexible architectures that allow blockchains to fit like a glove with their use cases.
We also see the rise of the decentralized consumer stack and the rise and adoption of roll-ups. We know that most of the middleware developed by Fuse is user-focused, heavily emphasizing vertical integration. Fuse is a vertical stack with one part in the base layer and the second on the consumer side.
With the wild adoption we see lately for Optimism, we also see two massive pieces of the puzzle that must be included before we can make the switch.
We believe that:
- The endgame for blockchain scalability and privacy problems is zkEVM’s.
- We don’t see any working solutions in production that enable decentralized rollups. So, in terms of decentralization, speed, and costs, moving to Optimism would be a step backward for our current stack based on Ethereum and Nethermind.
Therefore, we decided in Q4, 2023 to focus on the following priorities:
- The original plan to move to a beacon chain is no longer relevant.
- Setting up the first power validators and pushing out tokenomics changes
- Research Celo’s move to a decentralized sequencer
- Focus on migration to zkEVM
In the next few weeks, we will finalize and release a plan to move to L2 gradually.
Real-World Adoption
Nothing is more vital than real-world adoption and use of the Fuse blockchain for transactions and non-custodial wallets. Moreover, it shows that Web3 payments are a reality today for businesses rather than in the future.
Powering Web3 Payments at Mystic Valley Festival
In 2024, the Mystic Valley Festival in Thailand, attended by over 10,000 music lovers, will be powered by the Fuse Network and our Southeast Asian partner, Bitazza. Using the Freedom Wallet, a non-custodial wallet built by Bitazza, running on Fuse, attendees will complete transactions, buy and hold NFT tickets, and receive rewards on the Fuse Blockchain through the Freedom Wallet mobile app.
Chromepay and Fuse Solving Africa’s Identity Crisis
Chromepay is set to transform agriculture and financial inclusion in Ethiopia through strategic partnerships with MFIs, NGOs, and the Ethiopian Microfinance Switch (ETIFT). Their pilot program in the Shewa region will benefit 10,000 farmers by providing enhanced financial services and access to credit.
Additionally, Chromepay launched a Financial Literacy Hub for financial institutions and end-users of the Chromepay app in Africa to expand their knowledge of Web3, digital identity, and blockchain payments.
Chromepay’s innovative approach promises to uplift Ethiopian communities and redefine financial inclusion and agriculture in the country. Chromepay uses Fuse Network to generate its Digital IDs and wallets for its users and offers financial services linked to each D-ID. Moreover, Fuse enables ChromePay to offer services such as paying for micro-insurance and stablecoin savings and facilitates low-cost P2P transfers and remittances.
New Products
FuseBox
Previously called the Fuse API/SDK. We turned our middleware into a standalone, fully open-source product currently run by Fuse as a hosted service. Use the Fuse SDK to:
– Access separate user operations mempool
– Generate smart user accounts
– Submit ERC4337 transactions
– Access to the data layer for user operations
– Access to webhooks
– Register to paymaster logic
– Create an operator account to access
– Subgraphs and 3rd party indexers
We released the new Fuse SDK (Mobile SDK and Web SDK are coming soon) that fully supports ERC4337. Using the new SDK, operators on the network can quickly deploy wallets and pay for all the middleware costs through one easy payment scheme.
Token Bridge
Powered by LayerZero and monitored by blockchain security experts Ironblocks. The new Fuse token bridge facilitates the transfer of FUSE, USDC, and WETH tokens between different EMV-compatible blockchain networks. Read the announcement for a comprehensive understanding of the Fuse Token Bridge and its functionalities.
Network Explorer
We unveiled a new Fuse blockchain explorer built in collaboration with Blockscout, a leading open-source platform. Users can explore topline network data alongside Fuse blockchain accounts, transactions, blocks, tokens, gas, and contracts on the new charts and stats page. Moreover, the new explorer allows users to dig deeper into the data to reveal specific token transactions and whale wallets.
Console
We are consolidating token service dapps like Staking and the recently deployed token bridge into one Console product, which will be released shortly. This product will provide all the necessary tools for Fuse token holders, including the ability to open an operator account to pay for all the services provided by Fuse. Over time, we will add to the Console services, including 3rd party products like the Safe app and other relevant tools for builders on Fuse.
The Fuse Console will go live officially in November.
We are taking this opportunity to refresh our website look and feel with better content and better, more organic visuals to reflect our new branding.
The new Fuse website is going live in November.
Network Stats
Fuse Ignite Funding & Grants
In Q3, more than 100 applications for Fuse Ignite funding and grants are under consideration by the team. Stay tuned for announcements to follow.
In Q4, we will introduce the Fuse Web3 Business Grant Program, a dedicated initiative poised to champion and guide fintech dapps and businesses in their transition to the world of Web3 commerce. This program is set to drive the implementation of Web3 payment solutions, skillfully addressing many pain points in the industry.
Network Growth
Looking through the lens of daily active addresses, transactions, and developer activity on Fuse Network, we see substantial growth in Q3, leading to a positive outlook as we approach the end of 2023. Daily active addresses on Fuse grew by more than 63% to a daily average of around 44,000.
Daily transactions showed a similar upward trend and grew over 53% during Q3 to an average of approximately 98,400 daily transactions.
Furthermore, using the newly integrated Artemis dashboard, it is possible to compare Fuse with blockchain networks within the top ten by market capitalization. Interestingly, Fuse Network outperformed Cardano regarding transactions and active addresses in Q3, 2023.
Developer commits through the central Github repositories are growing, and builders continue to fork the popular Fuse Wallet to build customized solutions for their businesses.
Ecosystem Growth
We forged partnerships and welcomed more members to the Fuse Network ecosystem in Q3. These partners provide the vital tech infrastructure and tooling required to offer Web3 payments on Fuse Network, such as Web3 wallet and rewards infrastructure. Alongside infrastructure, the Mirakle DEX and Perpetual Trading dApp launch brings new trading opportunities to Fuse Network.
Mirakle was the first project to benefit from the new Voltage Finance launchpad, designed to aid DeFi projects to launch successfully on Fuse Network. After a successful IDO on Voltage in early October, the platform has ambitious ideas and plans to expand the utility of its native tokens. We are excited to see what perpetual trading brings to Fuse Network.
We joined forces with industry powerhouse LayerZero to deliver our new Fuse Token Bridge, secured and monitored by leading blockchain security firm Ironblocks. The bridge provides interoperability between Fuse, Arbitrum, Polygon, Optimism natively, Ethereum, and BNB Chain through Voltage Finance.
Alongside this, we onboarded several non-custodial Web3 wallet providers. Tweed’s self-custodial wallet and payment infrastructure helps builders create seamless and immersive Web3 experiences on Fuse with minimal integration work.
One key driver of growth in Q3 has been the integration of Web3 rewards and gamification platforms JokerAce, TaskOn, and Intract. The integrations allow Fuse and projects built on the network to build quests and marketing campaigns that gamify community involvement while rewarding participants with tokens on Fuse, such as FUSE, VOLT, and USDC.
On the tech side, Liquify comes on board to provide public RPC services – both free and private. Liquify is dedicated to providing solutions, with co-located tier-3 data centers boasting bare metal servers with a guaranteed uptime of 99.95%. To complement this, the Fuse for Humans app also aims to simplify Fuse blockchain transaction analysis and wallet tracking for all. The striped back and simple user interface are designed to make network transactions easily identifiable.
Further technical implementations include the integration of Etherspot’s Skandha Bundler to the network to push complete account abstraction to the Fuse wallet stack. Which, alongside the tracking of Fuse wallet contracts by Jiffyscan Explorer, provides a perfect solution. Additionally, blockchain analytics company Artemis came on board to provide a dedicated Fuse Network analytics and comparison page.
Fuse Network Team Expansion
Emmanuel Ebanehita – Chief Marketing Officer
Emmanuel will spearhead our marketing initiatives in his role, helping expand our reach and make Fuse Network synonymous with innovation in the Web3 payments space. His expertise and vision will be invaluable as we grow and bring our solutions to a broader audience.
Sasha Goldberg – Treasury and Liquidity Manager
Sasha aims to fortify Fuse Network’s economic stronghold, ensuring stability and sustainable growth in the ever-evolving DeFi landscape. He will optimize our financial operations and implement strategies that safeguard and augment our financial resources.
Ronald Tato – Ecosystem Manager
Ronald’s role at Fuse will be pivotal in fostering relationships, nurturing partnerships, and ensuring the Fuse ecosystem flourishes. His innovative thinking and passion for building strategic alliances will contribute to our growth and success.
Magali Schapira – Business Development
Magali’s primary objective at Fuse will be to spearhead our business expansion efforts, identifying potential partnerships and avenues for growth. Her expertise in building and nurturing relationships will be invaluable as we aim to solidify Fuse’s position in the market.
Hesham Shabana – Senior Web3 Developer
In his role at Fuse, Hesham will be at the forefront of our technological advancements, driving the development and optimization of our Web3 solutions. His deep technical expertise and innovative approach will be instrumental in ensuring that Fuse remains at the cutting edge of blockchain technology.
Musab Shakil – Frontend Developer
Musab will play a central role in enhancing the user experience of our platform, ensuring that both functionality and aesthetics are in harmony. His commitment to detail and passion for design will be vital in translating our vision into tangible solutions. With Musab on board, we’re set to offer our users a more seamless and visually engaging journey on our platform.
We are also hiring a General Manager at Voltage and a senior backend developer for Fuse Network, with more senior development positions to be announced soon.
Industry Impact
The team has participated in local and global events, starting with EthCC in Paris. CEO Mark Smargon gave a keynote alongside Vitalik Butterin at the co-hosted Account Abstraction Village. To further highlight the power of account abstraction on Fuse, we hosted a well-attended Twitter Spaces featuring the Ethereum Foundation and Etherspot.
We had a massive presence at this year’s Token2049 in Singapore, alongside key Southeast Asia partner Bitazza, showcasing the Freedom wallet built on Fuse.
Chief Marketing Officer Emmanuel Ebanehita is on a mission to further Fuse’s position in Africa. He gave keynote speeches at this year’s Africa Money and DeFi summit in Ghana. Then, Emmanuel headed to TechNext in Lagos to share insights on opportunities around Blockchain and AI and how they affect growth today and tomorrow in Africa.
Further, we were delighted to present Fuse and its potential impact on developing countries to African delegations at the Pears Program for International Innovation. While also providing an exclusive interview with the COO Ira Lakhman, to discuss Fuse and the innovative, inclusive, and accessible technological infrastructure they offer to small businesses globally to bypass bureaucracies and fees associated with traditional finance.
Moreover, Fuse’s impact and solutions are recognized in Africa with a nomination for best blockchain in the ACGAWARDS, short for Africa Crypto Giants Award. It’s the first crypto award event on the continent, recognizing and honoring the remarkable contributions of individuals and organizations within the African cryptocurrency and blockchain space.
CoinTelegraph took notice of Fuse and CEO Mark Smargon’s view with an exclusive appearance on the Hashing it Out podcast series to discuss the state of Web3 and blockchain payments.
Fuse Ambassador Program: Fuse Force
We unveiled the Fuse Ambassador Program in September to further expand community growth and opportunities. Moreover, Fuse Force is a testament to our belief in the power of community-driven growth and the potential of passionate individuals to shape the future of Fuse.
From an original batch of more than 600 applicants, we whittled it down to around 300 during the first phase and now have over 100 phase two participants spread out, advocating the Fuse brand and mission statement worldwide. At this stage, they work on social media advocacy, meetups in the real and digital world, moderation and community engagement tasks, and written and visual content.
The Fuse Force will be instrumental in helping the network grow and attract more attention.
Soon, the Fuse Force will get monthly remuneration based on a task leaderboard and branded merchandise to help them spread the word at events and meetups.
Community Growth
Fuse has seen significant growth across all social media and community channels in Q3, 2023. We’re seeing more engagement on Fuse than ever because of recent reward-driven campaigns.
Over the past three months, the official Fuse Twitter swelled by nearly 10,000 followers, while Tweets reached almost 9 million impressions. Over on LinkedIn, a key channel for B2B growth in the Web3 payments space, we launched the weekly Spark the Fuse newsletter and have seen followers grow by more than 300% while reactions and shares of content have increased significantly.
The Fuse Blog has become a vital resource for community members and those wanting to learn more about implementing Web3 payments into their business or commerce venture. Supporting the Fuse Blog, the launch of Fuse University provides a home for incentivized content and more strategic learning opportunities.
The University has been utilized for the 4th Birthday Learn and Earn campaign with overwhelming results. Soon, the University will transform to provide an ongoing hub for reward-based content and aid in spreading critical messages about the Fuse brand and mission.
Fuse Network 4th Birthday Celebrations
To celebrate Fuse’s 4th Birthday, the team went into overdrive in August to orchestrate campaigns and reward initiatives for the Fuse community and new advocates. We organized 24 days of giveaways, including exclusive offers from our ecosystem partners. The campaign included:
- Learn & Earn with Fuse University
- Voltage Airdrop
- Increased APY on Fuse Staking
- Mint 4th Birthday POAPs & Win Swag
- YouMeme Competition
- Exclusive partner offers
Thousands joined the newly launched Fuse University to participate in the inaugural Learn and Earn event to discover how Fuse Network powers Web3 Payments. However, just 100 participants answered all the questions correctly and walked away with a share of 44,444 FUSE tokens.
Voltage gifted 50 FUSE tokens to their new VOLT app’s first 400 verified users who downloaded and verified their accounts. The campaign pushed the VOLT app to new heights, with over 10,500 new wallets created and more than 700 verified users within the first few days.
FUSE Staking got a significant boost as more than 2,500 wallets staked their FUSE tokens for a chance to get a juicy 4X on their Annual Percentage Yield (APY) under specific conditions.
Finally, to see out the month, we launched a fun campaign where people could mint a limited edition 1 of 100 Fuse 4th Birthday POAP. At the same time, the final Fuse Meme competition with YouMeme provided some fantastic smiles for the team, with 3 winners sharing a prize pool of 3.5k FUSE.
Summary
In Q3 2023, Fuse Network made substantial strides in advancing Web3 payments, establishing itself as a pioneer in blockchain-driven financial innovation. During this period, Fuse Network’s achievements encompassed leadership in Web3 payments, fostering an expanding ecosystem for innovation, incorporating advanced Account Abstraction technology, hosting vibrant 4th Birthday celebrations, and initiating the Fuse Ambassador Program.
As the narrative around Web3 and crypto payments going mainstream intensifies, Fuse Network finds itself more relevant than ever. Real-world implementations with partners such as Bitazza and the Mystic Valley Festival show how Web3 payments can reduce businesses’ overheads and increase revenue, and loyalty is just the start. Announcements from payment giants Mastercard about actively working with non-custodial wallets only underscore the point further.
Moreover, the network witnessed remarkable growth in its community engagement and formed crucial partnerships while adding key personnel to its team while competitors shrank. These accomplishments emphasize Fuse Network’s pivotal role now and in the future in reshaping the financial landscape through Web3 payments, underpinned by a steadfast commitment to accessibility and innovation.
