What is Polygon Ecosystem (MATIC)? -

    ByDua Luoi
    Sep 07, 2022

    The layer 2 scaling solution for the blockchain industry is named Polygon; it was once known as Matic Network. You may utilize Polygon to employ a multi-chain blockchain, which enables quicker and less expensive transactions. From there, resolve all Ethereum or other chain's blockchain issues. Review Invest will provide you with intriguing information about What is Polygon Ecosystem? - All you need to know about Polygon.


    What Is Polygon?

    With the use of several scaling methods, Polygon, an Ethereum layer-two (L2) blockchain, can scale better than the Ethereum mainnet. Similar to the way Polkadot works, it will link blockchains that are compatible with Ethereum in an internet of blockchains. It employs a modular "security-as-a-service" strategy that enhances Ethereum's security or makes use of a private network of qualified validators.


    How Does Polygon Work?

    The polygon has four layers:

    • Ethereum layer: carry out actions such message relaying, staking, transaction finality, and dispute resolution.
    • Security layer: is charge of overseeing validators and examining the Polygon blockchains' legitimacy.
    • Network layer: Every blockchain has a unique consensus process and block generation.
    • Execution layer: This top layer is in charge of carrying out all transactions that have been approved by the lower tiers.

    Polygon scales in a variety of ways. The Commit Chain, the current Polygon chain, is a proof-of-stake chain that coexists with the Ethereum mainchain. It takes use of the security offered by the layer-one chain by grouping transactions and sending the transaction data to Ethereum. Due to its usage of Ethereum validators and high level of security, this is what Polygon refers to as a secured chain.

    Future versions of Polygon will also leverage ZK-proofs and optimistic rollups as L2 scaling techniques. This distinguishes Polygon from other L2 ecosystems, which often concentrate on a single scaling method.

    The standalone chains, which are side chains with their own pool of validators, are another feature that Polygon offers. These might be application-specific blockchains or business chains. In May 2021, Polygon published a software development kit that let programmers to create their own blockchain with unique consensus processes and synchronization dates.

    By combining the two of these approaches, Polygon hopes to transform Ethereum into a multichain ecosystem with Polygon serving as the key scaling solution.

    The MATIC Token

    The Polygon native utility token used to purchase gas is called MATIC. By exchanging MATIC for access to the blockchain and its development tools, it enables contributors and developers to construct DApps. Monthly emissions of MATIC have a set total supply of 10 billion and an 8.01 billion circulating supply.


    Following is how the MATIC token is distributed:

    • Private Sale: 3.80%
    • Binance Launchpad Sale (IEO): 19% of the total supply.
    • Team: 16%
    • Advisors: 4%
    • Network Operations: 12%
    • Foundation:21.86%
    • Ecosystem: 23.33%

    Polygon Wallets

    Any wallet that supports ERC-20 tokens can host Polygon. Wallets made by Polygon include:

    • Metamask: Metamask is a hot wallet that runs on the web and is interoperable with a variety of EVM-compatible blockchains, including Polygon.
    • Trezor and Ledger: Trezor and Ledger are cold wallets that put a priority on security and allow you to store currencies like MATIC away from your computer on a secure device.

    What is Polygon Ecosystem?

    With almost $2 billion in total value locked (TVL), Polygon is presently ranked sixth, according to DeFi Llama. Polygon currently maintains one of the more active ecosystems in the L2 sector on Ethereum, despite TVL being down more than 80% from its $12 billion peak.


    Polygon Ecosystem’s DeFi Projects

    On Polygon, a few DeFi projects are:

    • Quickswap: the biggest DEX on Polygon.
    • Curve Finance: a significant stablecoin marketplace.
    • Uniswap: one of the major cryptocurrency DEXs.
    • Sushiswap: a fork of Uniswap and another big DEX.
    • Beefy Finance: a yield-optimizer.

    Polygon Ecosystem’s Lending Protocols

    On Polygon, a few NFT markets include:

    • Stargate Finance: a completely composable liquidity protocol.
    • Aave: a DeFi money market protocol.
    • Meshswap: a leverage and DEX farm.
    • QiDao: a protocol for lending with no interest.
    • Balancer: a decentralized exchange.

    Polygon Ecosystem’s NFT Marketplaces

    Some NFT marketplaces on Polygon are:

    • OpenSea: the largest NFT market in the world
    • Refinable: a cross-chain, next-generation NFT market.
    • NFTrade: a platform for the creation, trading, and farming of NFTs.
    • ZestyMarket: an NFT platform that links advertising and authors.

    Polygon Ecosystem’s Web3 Apps

    Some Web3 apps on Polygon are:

    • Atlas USV: a retailer of OHM forks with a value-based emphasis.
    • Klima DAO: an OHM fork with a climate-related concept.
    • Gensokishi: a 3D metaverse.

    Future of Polygon Ecosystem

    With an emphasis on blockchain games and non-fungible currencies, Polygon created Polygon Studios as a subsidiary in 2021. (NFTs). Polygon Studios may establish Polygon as a leading provider of technology for decentralized gaming and NFTs if it is successful.

    In January 2022, Polygon brought on board a new CEO. (CEO). From YouTube, where he was the head of gaming, Ryan Watts has transferred to Polygon.

    Disclaimer: This article is only a sharing on the subject of What is Polygon Ecosystem?; It doesn't support any one business, solution, or item. It offers no tips for trading beforehand.


    With a bright future for the DeFi community in terms of scalability and blockchain interoperability, Polygon is one of the most interesting DeFi projects currently in existence.

    We could soon witness a massive influx of projects prospering on the Polygon ecosystem thanks to its extensive collection of development tools, its cutting-edge mechanism and modules, and its complete support for the Ethereum Virtual Machine (EVM).

    About Market247 is a place for sharing information, experience, and earned contracts with the community of crypto market players. It furthermore provides news updates on the cryptocurrency industry and blockchain technologies.

    What is Polygon Ecosystem? - FAQs

    How many transactions can polygons handle per second?

    Compared to Ethereum, which can only manage about 17 transactions per second, Polygon has the capacity to handle up to 65,000. Additionally, Polygon can provide these fees to consumers for just a few cents.

    Is Polygon a side chain or a chain in the plasma?

    For public blockchains, Polygon is a sidechain-based scaling solution. Scalability is offered by Polygon, which also guarantees a greater user experience in a safe and decentralized way.

    Is polygon ecosystem secure?

    Polygon, the most popular Ethereum scaling solution in the last month, is under assault from detractors who claim it is too centralized to be deemed secure.

    More posts related to What is Polygon Ecosystem?

    Related Post
    About Us
    © 2022MARKET247
    Follow Us