Polygon, previously known as Matic Network, is a blockchain platform founded in 2017 by Jaynti Kanani, Sandeep Nailwal, Anurag Arjun and Mihailo Bjelic. The platform’s primary objective is to develop a multi-chain ecosystem compatible with Ethereum3. Since its inception, Polygon has garnered considerable attention and popularity within the cryptocurrency industry.

One notable aspect of Polygon’s journey is its success in raising substantial funding. In a recent funding round, Polygon secured an impressive $450 million, with participation from prominent investors such as Sequoia Capital India, Tiger Global and Softbank Vision Fund.

This innovative platform has emerged as a major player in the crypto space, addressing pressing challenges faced by the blockchain community, particularly in the context of the Ethereum network.

1. Ethereum’s Scaling Conundrum

Ethereum, renowned for introducing smart contracts and decentralized applications (DApps) to the mainstream, has faced a notable obstacle to widespread adoption — scalability. As the Ethereum network continues to attract an increasing number of users and applications, the limitations of its underlying architecture have become apparent.

The network’s transaction speeds have slowed and gas fees have surged during peak times. It hindered its usability and impeded its potential to revolutionize multiple industries.

2. Enter Polygon: A Scalability Solution

Enter Polygon, a Layer 2 scaling solution that addresses Ethereum’s scalability limitations. By leveraging sidechains and unique architecture, Polygon offers a high-performance, scalable ecosystem that operates alongside the Ethereum mainnet.

By leveraging the Polygon Network, crypto-gambling platforms can significantly increase transaction throughput and reduce fees. This scalability ensures a smoother and more cost-effective gambling experience for users.

3. Power of Polygon’s Toolkit

What distinguishes Polygon from other scalability solutions is its extensive toolkit designed to meet the varied requirements of developers and users. The platform encompasses a range of scaling solutions, such as plasma sidechains, zk-rollups and optimistic rollups. Each solution offers its unique benefits and trade-offs. It enables developers to select the approach best suits their use case.

This versatility enhances the overall user experience and fosters innovation and creativity within the blockchain industry. By providing developers multiple options, Polygon empowers them to explore different scaling techniques and experiment with new ideas.

4. MATIC: Heart of Polygon

At the heart of Polygon’s ecosystem is its native cryptocurrency, MATIC, which serves as a transactional currency and a governance token. MATIC plays a crucial role in the network’s operations. It facilitates users to conduct transactions within the Polygon ecosystem with fast speeds and minimal fees.

MATIC holders are also privileged to participate in the platform’s governance. They can use their voting rights to influence the development of Polygon’s protocols and features.

There are various ways for people to purchase MATIC, the native cryptocurrency of Polygon. Cryptocurrency exchanges like Coinbase and Gemini provide platforms for buying MATIC. To get started, users need to create an account, complete the verification process, and then they can purchase MATIC using bank transfers, wires, debit or credit cards or even other cryptocurrencies.

5. Ecosystem Growth and Partnerships

Polygon is committed to advancing the broader blockchain community and fostering a vibrant ecosystem through strategic partnerships and collaborations with prominent blockchain projects like Chainlink, Ocean, Atari and Coinbase.

For example, Polygon’s partnership with Chainlink, a decentralized oracle network that connects smart contracts with real-world data, empowers developers to create smart contracts on the Polygon network that can access accurate, tamper-proof data from the external world.

6. Investment Potential and Future Prospects

Polygon (MATIC) offers an opportunity for investors looking to enter the cryptocurrency market. Its consistent presence among the top cryptocurrencies by market capitalization reflects its value proposition and increasing adoption.

As Ethereum transitions to Ethereum 2.0, Polygon’s significance is expected to amplify even further. Ethereum 2.0 aims to address scalability issues, but it is a complex and lengthy process.

Conclusion

Polygon is a significant player in the crypto space. It solves Ethereum’s scalability issues and makes blockchain technology more user-friendly. Polygon has created a foundation for a better blockchain ecosystem with its parallel architecture, various scaling solutions and partnerships.

Last Updated on August 15, 2023 by soubhik