Let us take a look at where crypto is today because there has been some sideways movement throughout the day. In particular, there is one coin that we will discuss. Polygon (MATIC) – still among the top 20 coins. MATIC is fascinating since many people are embracing it, and one major event that might occur in the near future could send its price soaring.
Polygon is a two-dollar cryptocurrency that is currently selling at slightly under $2. It is one of the top 25 or so cryptos, and it has a good possibility of skyrocketing in value before the end of the year. It is riskier than Bitcoin, Ethereum, and Solana, but it has a bigger short-term potential. You can buy these cryptocurrencies via a platform like Bitcoin Revolution.
To begin with, OpenSea just made Polygon available to users (MATIC). They did this because it saved them a ridiculous amount of money on fees. Unstoppable Domains is another firm that has begun working with Polygon. They did this because it essentially permits them to make them free to claim and manage on L2 beginning November 15.
Transactions on L2 will be free of gas fees. Polygon (MATIC) can be seen as the player, allowing you to transact and work on it, but it is extremely sluggish and costly. As a result, it takes a long time and is inefficient when compared to Layer-2, which batches these various operations and makes them very inexpensive and efficient. They are able to avoid paying any gas fees as a result of this. This will save clients an average of $165 per year in gas expenses per domain, assuming ten transactions each year. Because gas fees have been rising, this figure may be a little low.
Polygon has also signed a strategic blockchain deal with DraftKings. They will use their NFTs to assist them with their digital collectables ecosystem. Polygon has also begun collaborating with Switzerland’s Postal Service, which is intriguing.
However, if Coinbase begins to use them, it has the potential to skyrocket in price. We already know that Coinbase is creating its own NFT platform and that they will profit handsomely from it. So they will most likely strive to get it out as soon as possible while keeping it secure. At this time, the firm plans to begin without any Layer-2 scaling networks. That means they will have to pay high gas fees and deal with several of Ethereum’s scalability difficulties right now.
Coinbase says it would ultimately accept many blockchains on Coinbase NFT, although it is starting with ERC-721 and ERC-1155. Because so many other firms are integrating with Polygon, it is probable that they will as well. It is only a matter of time now that OpenSea is integrating, especially given how pricey fees are right now.
With 1.1 million people waiting for this to launch, Coinbase will need to add some Layer-2 solution that will save us money, especially considering how high the fees will be once Ethereum is overburdened. Within mind, the CIO of Bitwise talked recently about why Polygon was an obvious choice for a single asset fund.
The CIO says that they see a lot of app activity, and it is probably the number one play in the space. We want to create a fund that lets people make a bet on that specific asset. He also says that it is not for everyone; it is not even for most investors but for people who want exposure to MATIC in a fund structure.
This is a positive vote of confidence because this is one of the major crypto index funds out there. What direction do you think this will go in the future? It might have something to do with how far we have progressed in crypto in general. If Bitcoin rises to 200,000 to 400,000 dollars, it will have a significant impact on all of these alternative cryptocurrencies. It will also rely on whether or not OpenSea permits Polygon to be incorporated.
Currently, several analysts are predicting a 67% or 100% increase if it reaches $3.50. There are a slew of various theories floating about. It will be a fantastic purchase, with a massive potential catalyst, which can only be a positive thing, especially as Ethereum becomes increasingly crowded.
If the masses show up, this will get crazy, and Ethereum costs will skyrocket. The ordinary person cannot afford to spend a couple of hundred dollars each month in Ethereum fees. They just will not do it, especially when it comes to one- or two-dollar NFTs. That is not going to happen.
According to CoinDesk, MATIC has just risen significantly. So if you are debating whether or not to purchase, a Polygon stake would make sense given the expected bull run. If you are wondering when you should buy, it is best to do so when Polygon filed around 150, simply because the market is now optimistic. If you cannot do that, you could do a dollar-cost average instead.
Maybe a little bit today, a little bit next week, and a little bit the week after that. It will be entirely up to you. It is not a good idea to invest all of your money in Polygon. It is beneficial to have a variety of highly weighted cryptocurrencies, including Polygon, because Polygon is a high-risk, high-reward cryptocurrency.