Crypto Corner: a profile on MATIC

Last year, we added the Matic token (MATIC) to the Wirex family. We thought it was about time you got to know it a bit better, so read on for an introduction to MATIC and the Polygon Network.

What’s it all about?

MATIC is the native token of the Polygon Network. It’s used to power the protocol, which is a framework for building interconnected Ethereum-compatible blockchain networks.

Polygon set out to address some of the issues currently faced by Ethereum, namely high gas fees and network congestion. It does this by attaching multiple “side chains” to the Ethereum blockchain, which support several different DeFi protocols. This helps reduce network traffic, resulting in faster transactions and lower costs.

These days, the Polygon Network is much more than just an Ethereum scaling solution, however. It nows calls itself “Ethereum’s internet of blockchains”, which means it aggregates Ethereum-based blockchains and allows them to communicate with one another.

The network provides developers with the tools they need to easily produce fast, scalable blockchains and dapps, and is already used by a number of well-known DeFi projects, including Aave and SushiSwap.

What can you do with MATIC?

MATIC is used to pay transaction fees on the Polygon network, as well as participate in the Proof-of-Stake (PoS) consensus. This involves validators and delegators staking their MATIC in staking contracts in order to achieve consensus and secure the network.

You can also buy, HODL, exchange and spend it with the Wirex app and card!

Who came up with the idea?

Polygon was created in India in 2017 - originally as the Matic Network - by Ethereum developers Jaynti Kanami, Sandeep Nailwal, Anurag Arjun and Mihailo Bjelic.

MATIC’s initial offering in 2019 raised the equivalent of $5.6 million in ETH, from the sale of 1.9 billion tokens. The network went live in 2020 and rebranded as Polygon in 2021.

Any fun facts?

When MATIC entered the top 20 cryptocurrencies worldwide by market cap, the Polygon founders apparently became India’s first crypto billionaires.

They were also the first to address the key issues associated with Ethereum in the Polygon white paper.

4 Likes

Does Wirex support MATIC transactions on Polygon ?