Author: Zen, PANews

In early August, FUNToken launched The FUN100x, a "growth and decentralization" foundation. As the FUNToken ecosystem began to recover significantly, the launch of this foundation was clearly intended to maintain the long-term integrity, inclusiveness, and decentralization of the FUN protocol, thereby continuously promoting ecological growth.

The FUNToken ecosystem has seen rapid growth over the past two months. Since mid-June 2025, FUNToken has experienced a staggering surge: According to Coingecko data, FUN's price has surged by 684% since June 17th, with a monthly increase of 247%. This surge isn't solely due to a short-term speculative frenzy; it also reflects the rapid implementation of the FUNToken ecosystem and the significant increase in community activity.

From its innovative token economic model to its AI-driven interactive incentive mechanism, FUNToken is gradually becoming a focus of industry attention. This article will delve into its ecosystem architecture, token design, and core competitive advantages to reveal the underlying driving force behind its continued growth.

Building an ecosystem that integrates gaming, entertainment, and AI-driven incentives

As a GameFi platform focused on entertainment experience, FUNToken has continued to deepen its layout in the three major areas of decentralized games, Web3 entertainment, and AI smart rewards in recent years, and has initially formed a diverse and interconnected ecological closed loop.

In June of this year, the FUNToken team launched its first AI-powered rewards bot, "FUN Token Official Bot" (@fun_message_scoring_bot), on Telegram, marking the start of a large-scale pilot program for its AI Agent system. This bot scans user chat content in real time within a group and automatically distributes FUNToken rewards based on the quality and frequency of interaction. This entire process requires no manual review and is entirely executed by smart contracts.

In subsequent updates, the project further upgraded the robot to restructure community participation and reward methods - including the launch of the "Wheel of Fortune" lucky wheel feature, where users can get a chance to spin the wheel by speaking, taking quizzes, or completing interactive tasks. Each spin rewards 1 FUN to 100,000 FUN, with a maximum chance of winning FUN tokens worth $500.

By fostering a deep integration of social platforms and crypto incentives, FUNToken's community has rapidly expanded, significantly increasing the frequency of active interactions. As of August 1, 2025, the platform boasts over 100,000 active users, with its official chat group regularly boasting over 10,000 concurrent users. As the ecosystem flourished, the price of FUN tokens also soared. According to Coingecko data, starting in mid-June, FUN tokens rose steadily from a low of $0.0033 to a peak of $0.0239 in mid-July.

In addition to bot gameplay, the team has also planned over 40 lightweight Web3 games, including quizzes, jackpot games, and socially interactive games, aiming to establish a closed loop between content creation, social sharing, and entertainment experiences. These games are expected to be released quarterly, with a goal of adding at least 10 games each quarter. All are expected to be available by the first quarter of next year, which is expected to further enhance the platform's appeal and user engagement.

"Multi-functional" native token FUN

As the core supporting the entire FUNToken entertainment ecosystem, its native token FUN undertakes multiple functions in the ecosystem, covering on-chain payments, reward distribution, in-game betting and staking dividends.

In the Telegram Bot, users can not only earn instant rewards by posting high-quality content, but also participate in quizzes to win additional airdrops. The aforementioned Lucky Wheel offers active users the opportunity to win high-value tokens, enhancing the fun of interaction and community stickiness.

In addition, the platform offers a flexible staking feature, allowing users to deposit or withdraw FUN at any time and receive dividends in real time. The annualized yield on staking can be viewed at any time through the bot. According to reports and real-time data as of August 1st, it can range from 6% to 87%, with no lock-up restrictions.

FUNToken utilizes a deflationary token model, with the project committing 50% of quarterly revenue to repurchase and burn FUN tokens to reduce circulation and support the long-term value of the token. On June 24th, the project team conducted its largest burn to date, permanently destroying 25 million FUN tokens. Additionally, on July 22nd, FUNToken destroyed an additional 12 million FUN tokens. These burns will scale proportionally as the ecosystem expands and revenue grows, increasing the token's scarcity over time.

Furthermore, to ensure platform security and transparency, the project team has relinquished administrator privileges in the smart contracts. All bot rewards and staking logic are now automatically executed by on-chain contracts. Furthermore, these contracts have undergone a comprehensive CertiK audit and received an AA security rating. Powered by CertiK Skynet's monitoring mechanism, the ecosystem can monitor for abnormal or suspicious contract activity in real time, further ensuring the enforceability and transparency of supply reductions.

In terms of liquidity, FUN tokens have been listed on many mainstream centralized exchanges (CEX) and decentralized exchanges (DEX) such as Binance, Gate, HTX, and Poloniex, taking into account global users and sinking markets, providing a convenient channel for obtaining tokens and participating in the FUNToken ecosystem.

Establishing differentiated advantages through Web3 mechanisms and AI-driven

Compared to traditional GameFi projects, FUNToken demonstrates significant differentiation. Its AI-driven incentive model evaluates user contributions in real time and distributes rewards directly to content creators, fundamentally replacing traditional advertising or manual review distribution models.

Among similar competitors in the GameFi ecosystem, FUNToken utilizes AI bots as its ecosystem engine. By combining interactive chats, quizzes, daily mini-games, and a lucky wheel, it establishes a deep connection between high-frequency interactions and entertainment experiences, significantly increasing user stickiness. Furthermore, using Telegram, with its hundreds of millions of users, as an entry point has proven to effectively lower the barrier to entry, attracting traditional Web2 users while making it easy for Web3 newcomers to get started.

Furthermore, compared to the GameFi token, which has been experiencing constant price drops, FUN's deflationary token model further supports its value, while its multi-channel liquidity strategy enhances its market depth and risk resilience. Furthermore, its fully decentralized contract design enhances security and trust. This differentiated approach gives FUNToken a unique competitive position among similar projects.

The FUN100x Growth and Decentralization Foundation, with an estimated investment of $10 million

As a neutral, non-profit entity, the FUN100x Foundation aims to maintain the long-term integrity, inclusivity, and decentralization of the FUN Protocol through open, permissionless infrastructure.

The FUN100x Foundation has pledged $10 million to accelerate ecosystem development. The community will collectively decide how to use the funds. FUNToken ecosystem projects seeking funding can submit proposals, and FUNToken holders will vote on whether to fund them. Funding will be awarded to the most impactful proposals with the highest community support.

It is reported that the foundation will focus on nine core areas:

● Neutral hosting of core technologies: Protecting the protocol as open, permissionless public infrastructure, funding R&D, formal verification and security audits, and supporting independent contributors to build the roadmap.

● Open source ecosystem growth: Incentivize innovation through grants, bounties, and hackathons, and provide SDKs, tools, and mentor support.

●Decentralization and governance promotion: Build a transparent on-chain governance system, publish governance principles, decision records and progress reports, and strengthen the rights of token holders.

●Global Inclusion and Economic Access: Focusing on underdeveloped regions, supporting education, localization and low-cost entry solutions, and promoting fair access to digital financial instruments.

● Public Goods and Social Impact Funding: Allocate a portion of treasury revenue to support open source projects and public welfare research, extending the value of blockchain technology beyond the protocol.

● Security, Risk, and Resilience: Fund independent audits, bug bounties, and fraud detection, and coordinate incident response mechanisms across wallets, dApps, and exchanges.

●Sustainable financial and environmental responsibility: Treasury operations follow a transparent and open policy, balancing long-term financial stability and environmental innovation.

● Policy, Standards, and Advocacy: Engage with regulators and standards organizations to promote decentralization, open standards, and user privacy, advocating for Web3 as a global public product.

● Education and community empowerment: Curate neutral learning resources, launch ambassador programs, meetups, and conferences to amplify grassroots voices and expand global participation in the FUN ecosystem.

Led by a $5 million giveaway, will the number of users reach 1 million next year?

Since mid-June, the FUNToken ecosystem has been gaining popularity. To reward platform users and attract new members, the project team has decided to strike while the iron is hot and is launching a giveaway worth up to $5 million USD , exclusively for FUN token holders. Details will be announced soon.

In addition, according to the roadmap released by FUNToken: the team will launch 10 new games in the third quarter, focusing on hyper-casual and viral gameplay to meet users' fragmented entertainment needs; launch another 10 games in the fourth quarter, and launch the FUN Wallet mobile application (Android+iOS) with game rewards and equity functions, built-in NFT modules, leaderboards and community tasks. Dynamic incentive engine, while deepening strategic cooperation with medium-sized game studios; in the first quarter of 2026, it will continue to release 10 high-engagement new works, bringing the total game library to 40, and expand the FUN Wallet function through multi-chain support and fiat currency entry, officially introducing FUN tokens into the external game ecosystem.

If these plans are successfully implemented, FUNToken anticipates reaching 10 million game users and over one million wallet users by the first quarter of next year. Considering the success of Telegram mini-games like Notcoin, Hamster Kombat, and Catizen last year, as well as FUNToken's recent innovation and growth, this ambitious vision is within reach once the user growth flywheel kicks into gear.