Polygon (MATIC) is a scaling answer that drives growth throughout the Ethereum community.
What is polygon? What is MATIC? And how do they each work?
We’ll reply these questions, talk about the right way to purchase the MATIC token, and offer you suggestions for including this cryptocurrency to your portfolio.
Table of Contents
What is Polygon?
Polygon is a platform that gives scaling, infrastructure growth, and L2 options for the Ethereum community.
Essentially, the Polygon protocol makes it doable for blockchain networks to attach and scale. This opens up a protracted record of use instances, together with ZK rollups, optimistic rollups, sidechains, stand-alone chains, and enterprise chains on the Ethereum community.
The MATIC Token
The MATIC token is the native cryptocurrency of the Polygon community. It’s issued as an ERC-20 standard-compliant cryptocurrency on the Ethereum blockchain, which implies that it’s appropriate with different Ethereum-based digital belongings.
Owners of the MATIC token can stake it to earn rewards, use it to pay charges on the Polygon community, or leverage it as a part of the Polygon governance course of.
Owners may purchase, promote, and commerce MATIC through platforms akin to Binance.US.
History of Polygon (MATIC)
What’s now known as the Polygon community was co-founded in 2017 by Jaynti Kanani, Sandeep Nailwal, Anurag Arjun, and Mihailo Bjelic (its unique identify was the Matic Network).
In 2019, the Matic Network initiated an preliminary trade providing (IEO) of its MATIC token on Binance.com.
During that IEO, the Polygon community set the utmost provide of MATIC at 10 billion tokens. As of this writing, nearly all of these tokens — greater than 8.7 billion — have already been issued.
Then, in 2021, builders rebranded the community as Polygon, whereas retaining the MATIC token because the native cryptocurrency.
Since then, the community has carried out main decentralized finance (DeFi) protocols, Mark Cuban has invested within the firm, and the MATIC market cap has exceeded $10.5 Billion USD.
How does Polygon work?
Polygon leverages a modified proof-of-stake (PoS) consensus mechanism. This is in distinction to the common proof-of-stake and proof-of-work (PoW) fashions.
The modified Polygon PoS mechanism permits the Ethereum blockchain to attain consensus on each block — a leap up from the normal proof-of-stake technique, which may solely obtain consensus after processing many blocks.
Polygon know-how additionally serves as a bridge — or gateway — that makes it doable for present blockchains to ascertain compatibility and back-and-forth communication with the Ethereum community.
How to purchase Polygon MATIC
1) Partner With a Crypto Platform
To get began shopping for Polygon (MATIC), discover a crypto platform — like Binance.US — that helps the token.
Binance.US gives cheap charges, offers you assets and instruments that can assist you make the correct decisions, and offers entry to different common cryptocurrencies in the marketplace.
Partnering with the correct platform will make it simpler to purchase, promote, and commerce MATIC (and different cryptos) as you achieve extra expertise.
2) Set Up an Account
Once you’ve chosen the crypto platform that’s best for you, create an account and confirm your identification.
Look for an account that comes with superior safety, a spread of tokens and cash, low buying and selling charges, superior buying and selling API, and real-time order books.
Opening an account that provides these options for all of their cash and tokens — not simply MATIC — offers advantages down the highway once you wish to diversify your portfolio (mentioned later on this article).
3) Add Funds to the New Account
The subsequent step in shopping for Polygon (MATIC) is to fund your account with fiat foreign money (government-backed cash, akin to U.S. {dollars}.
Advanced platforms will will let you do that through a number of strategies, together with:
- Established fee providers (e.g., ApplePay — examine platform for particulars)
- Debit card
- Credit card
- Bank switch
- Wire switch
- ACH debit from an present checking account
You may switch a cryptocurrency you already personal from one other platform and use these funds to buy MATIC tokens.
Before you add something to your new account, we advocate taking the time to confirm that the platform you wish to use gives a funding technique that’s handy for you. This will make it simpler to deposit, withdraw, and use your funds afterward.
4) Decide When to Buy
Once you’ve funded your account, you’re prepared to purchase MATIC. To do that, determine how a lot you wish to buy and once you wish to provoke the transaction.
Most platforms will let you management each of these variables and both provoke the purchase order manually or set your account to provoke the purchase mechanically when the market meets sure circumstances (e.g., time and/or value).
5) Store Your Polygon in a Secure Location
When the purchase order has gone by means of and also you’ve bought MATIC in your account, preserve it safe by storing it in a crypto pockets. For that, you’ve gotten two choices: a sizzling pockets or a chilly pockets.
A sizzling pockets is a web based area usually offered by the platform by means of which you made the acquisition. A chilly pockets, then again, is an offline area, like an exterior exhausting drive.
Tips for Adding MATIC to Your Portfolio
1) Research the Cryptocurrency Market
The first step in efficiently including MATIC to your portfolio is performing thorough analysis. This article is an effective place to begin. Further your understanding by delving into different subjects, akin to:
While you don’t have to know all the subjects listed above earlier than shopping for, promoting, buying and selling, or staking MATIC, they act as a stable framework to additional you to make extra knowledgeable buy choices.
2) Research Platforms
As a part of the method of studying about Polygon, take the time to analysis the crypto platforms you’re contemplating utilizing to entry the market.
Doing so earlier than you commit can assist you select the ecosystem that works finest on your wants — each now, and sooner or later.
As you analysis, make an inventory of questions concerning the varied platforms, akin to:
- What issues does the platform clear up?
- What advantages does the crypto ecosystem provide?
- How many customers does the platform have?
- What do customers need to say concerning the platform?
- How cryptographically safe is the platform?
- What are the charges concerned in shopping for MATIC and different cryptos?
- Will this platform nonetheless be helpful as my portfolio grows?
With these questions in thoughts, look at the choices with a essential eye, weigh the professionals and cons, and determine on the one that may develop with you as you achieve expertise.
3) Develop a Strategy
Before initiating any transactions with MATIC (or any cryptocurrency, for that matter), it’s all the time a good suggestion to develop a technique.
Doing so can shield you from making expensive errors and might mitigate the dangers of dashing headlong into the cryptocurrency market. Take issues one step at a time.
Then, relying on what you wish to get out of shopping for MATIC (your technique), you may make a plan to purchase and stake. Or, maybe, shopping for after which day buying and selling is extra in keeping with your objectives.
Whatever technique and plan you develop, do your finest to stay to it as carefully as doable. As you go, resist the urge to comply with short-term hype right into a shedding scenario.
4) Diversify
At the beginning, specializing in shopping for, promoting, buying and selling, and staking MATIC can assist you be taught concerning the market and the way it strikes.
However, once you really feel snug dealing with one cryptocurrency, it may be helpful to diversify into different cash and tokens as effectively.
Buying numerous one coin or token can expose you to extra threat than you is perhaps prepared to deal with. Diversifying can assist mitigate that threat.
Consider including a second or third choice to a few of your MATIC buys so as to add a little bit of stability to your portfolio in case one of many cryptocurrencies in your pockets drops sharply in worth.
Access Polygon With Ease
With solutions to the questions, “What is polygon?”, “What is MATIC?”, and “How do they work?”, you’ll be primed and able to navigate the world of cryptocurrency extra efficiently.
But you’ll want extra than simply data to make issues work.
You’ll have to companion with a strong cryptocurrency platform — akin to Binance.US — that provides you entry to the instruments that may enable you make well timed and knowledgeable choices about when to purchase, promote, and commerce.
To get began, register for a Binance.US account on-line or obtain the Binance.US app.
You can purchase MATIC, BTC, LTC, ETH, and over 150 different cryptocurrencies with a debit card, bank card, or through financial institution switch, and get your crypto journey began immediately.
Download the Binance.US app to commerce on the go: iOS | Android
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