Polygon Surpasses $10 Billion in TVL as MATIC Emerges the Winner in Bloody Red Market
The latest winner in the cryptocurrency market is the Ethereum layer 2 scaling solution, Polygon, which, as we reported, has been gaining immense traction for the past few months.
With ETH becoming extremely costly for small users, scalability solutions have been slowly growing into popularity.
Polygon is one such sidechain that is gaining the approval and interest of the masses.
As DeFi lending protocol bZx noted, while gas fees on ETH are reaching as high as 600 Gwei, Polygon offers average transaction fees as low as less than $0.10.
More and more DeFi protocols have been integrating with this low fees solution — from Infura, Truffle, Gnosis Safe, ChainSwap, DFyn, bZx, SushiSwap, 1inch, to Chainstack, Bancor, Beefy Finance, Freela, Trace Network, Geo Data Block, Chumhum.Finance, Complus Network, TimeSwap, Slingshot, and many others.
This growing interest is evident from the $10.53 billion of total value locked in the protocol. Interestingly, a fortnight back, this TVL was under $4 billion.
About a billion dollars of this TVL belongs to Polygon’s AMM QuickSwap, whose token QUICK is surging currently trading at $1,059, up over 612% in the past 20 days. QUICK -0.69% QuickSwap / USD QUICKUSD $ 476.65
-$3.29-0.69% Volume 29.46 m Change -$3.29 Open $476.65 Circulating 327.1 K Market Cap 155.91 m
Other big contributors to this TVL include USDC, WBTC, AAVE, USDT, and DAI.
Anthony Sassano, an Ethereum bull and an advisor to Polygon, says it is much more useful than other chains like BSC because they are committed to building & deploying L2 solutions like rollups in the future.
He took to Twitter to share that Polygon is currently working on Matic Plasma Chain and the Polygon PoS chain, with a vast majority of the activity happening on the PoS chain, the sidechain.
Having its own permissionless validator set, Polygon doesn’t use Ethereum’s security. When it comes to multi-sigs, they exist to allow the contract to be upgraded in case of a bug/exploit.
Meanwhile, the token MATIC has been having a wild rally, up 13,381% YTD, to hit an all-time high at $2.62 on Tuesday.
During the market-wide sell-off, MATIC crashed 27% only to see a V-shaped reversal and is already back above $2.