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- Polygon is a platform and a project that stood out in the DeFi sector, due to being a spot for individuals to make transactions with high speed and low fees. It aims at bringing Layer 2 protocols for the Ethereum network.
- As per the details from a blog by Polygon, since last year, the number of teams and groups developing their project on Polygon has doubled every two months, with the figure being up by 43% in the last December.
- As per the platform, Polygon reported a billion transactions last year, with more than 2.67 million monthly active users processing 3 million transactions per day.
Since the DeFi summer past year, layer 2 protocols focused on delivering scaling to the congested Ethereum network have now been dominating the cryptocurrency show. Polygon was one of the platforms that stood out since it has been a go-to for several DeFi enthusiasts searching for minimal costs and fast transaction speeds.
Polygon has been generating new DeFi apps to its infrastructure every day as a result of this. As per statistics from Alchemy, the company already has more than 7000 decentralized applications (dApps) operating on its network, which is more than twice the number from three months ago.
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Increasing Projects On Polygon
In a blog post, it was also said that since the mid-last year, the amount of groups producing projects on Polygon has increased every two months. By the end of December, the figure had grown by 43% from the previous month to 6,000. The massive surge has also resulted in a 74% increase in network utilization over the same time period. Though this is a long way from the 13,000 decentralized applications (dApps) developed on Ethereum in May 2020, the rate of Polygon’s acceptance is evidence of its growing fame.
Furthermore, DeFi protocols on the blockchain have a value of $4.4 billion. Leading DeFi networks like Uniswap, Aave, and Curve, as well as companies like Dolce & Gabbana and Adidas, have all incorporated it in the last year. According to the Polygon posting, 55% of these projects have blended solely on Polygon, while 45% have also launched on Ethereum.
Adoption On Rise
In terms of user adoption, Polygon reported a billion transactions last year, with more than 2.67 million monthly active users processing 3 million transactions per day, more than twice the frequency of Ethereum, according to the company.
The network, on the other hand, is far from unstoppable, as greater utilization has exposed its flaws. They also appear to be strikingly similar to Ethereum’s. Sunflower Farmers, a blockchain-based agriculture game, caused heavy traffic on Polygon earlier in the month, resulting in many players complaining of rejected transactions and deficient efficiency all over the network. Because Polygon’s attraction is based on its tremendous throughput, this might substantially undermine the goal of its presence. On Twitter at the time, Dan Elitzer, a co-founder of Nascent, a cryptocurrency investment business, said the same thing.
Nancy J. Allen is a crypto enthusiast, with a major in macroeconomics and minor in business statistics. She believes that cryptocurrencies inspire people to be their own banks, and step aside from traditional monetary exchange systems. She is also intrigued by blockchain technology and its functioning. She frequently researches, and posts content on the top altcoins, their theoretical working principles and technical price predictions.
