Polygon (Previously Matic Network) Has Gone Vertical
For those who have been following, I usually only review platform and layer 1 interoperability projects. However, I try to keep up with the latest trends so why not review MATIC, Ethereum’s internet of blockchains. Polygon, previously known as Matic, is one of the strongest performing alt coins as of recent. I enjoy learning about blockchain innovations, or tech in general, and I’m sure this project will get you excited. These reviews help me understand the basics to each project, so here are my findings.
What is Polygon
Polygon is a protocol and a framework for building and connecting Ethereum-compatible blockchain networks. Aggregating scalable solutions on Ethereum supporting a multi-chain Ethereum ecosystem using an adapted version of Plasma with PoS based side chains.
Polygon was founded in 2017 as a Layer 2 scaling solution solving the well known congestion problem of Ethereum. Matic can handle up to 65,000 transactions per second compared to Ethereum 1.0 which supports approximately 30 TPS.
Similar to DOT and ATOM, Matic is an interoperability solution that is able to fully benefit from the Ethereum’s network effect while also maintaining the parent chain level of economic security.
MATIC has a total supply of 10B coins in which 6.15B are in circulation today. MATIC sits at #16 on the rankings and has been on a steady uptrend over the recent weeks.
- ETH Compatibility —Solves pain points associated with the Ethereum networks, like high gas fees and low speeds, without sacrificing on security.
- Scalability — Can scale to millions of transactions on a side-chain tree architecture. Up to 65k transactions/second on a single Matic chain. Scalability is realized by using a decentralized Plasma operator mechanism with finality achieved on a main chain.
- Security — The Matic chain(s) operators are themselves Stakers and Delegates in a Proof-of-Stake system in the Matic Network.
- Interoperability — Ability to exchange arbitrary messages with Ethereum and other blockchain networks. Assets on different side-chains across various blockchains will be made inter-operable by Matic Network in the near future.
- Decentraland (MANA) — A virtual reality platform powered by the Ethereum blockchain.
- Zebi — India’s first, and largest full stack blockchain company
- MakerDAO — A decentralized autonomous organization which governs the stable coin — DAI, which is an asset-backed decentralized stable coin on the Ethereum blockchain.
- Hey Coral — Provides data and analytics on blockchain addresses to increase compliance and combat fraud
As long as ETH and other platform projects have network congestion problems, which is inevitable with a rapidly growing space, there will always be a need for scaling solutions like MATIC. It is clear the gas fees and speed of ETH have taken a turn for the worse this year with the new DEFI craze and further adoptions into blockchain.
MATICs partnership with MANA, a project I was a big fan of in 2017, is also a big bonus as NFTs and the metaverse has shown to put up amazing numbers in regards to investors and participation. MANA has launched a swap tool to move MANA from the ETH network to MATIC, making it easy to convert. Recent top sales in Decentraland are ranging around $30k so as this trend continues, there will be a continued need for MATIC.
Bottom line, as long as ETH has a network congestion, with ETH 2 launch unknown, MATIC should continue on its upward trend.
Lastly, for those who like to invest in projects in different geographical locations, the crypto markets in India have been booming and with MATIC being an India based project, this has the potential to be crowned the coin of India.
Hopefully you find this brief outline helpful in your journey through the crypto world.
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NO INVESTMENT ADVICE — The Content is for informational purposes only, you should not construe any such information or other material as legal, tax, investment, financial, or other advice.
As of this date, we don’t hold a position in $MATIC