This article tackles new promising projects that operate on top of Polygon (MATIC). If you are looking to expand your knowledge on the Polygon network, and find interesting projects that are worth investing in, this article is for you. Buckle up, and get ready to see many Poly-words!
The crypto sphere has many new and exciting projects. Most of them are new to the scene and are trying to kick-start their journey. Holding some “Top 5” coins is a good investment, but profiting significantly and breaking through is definitely too late. To make high gains in the crypto sphere, the game changed from holding solid cryptos to finding new projects. Most of those projects aren’t simple cryptocurrencies anymore, but rather projects that have to do with DeFi and Yield Farming. Thanks to smart-contracts, those two industries came to life, and are making huge gains for the ones who enter early.
What is Polygon (MATIC)?
Ethereum was the first blockchain that introduced smart-contracts. This lead to the creation of new industries that work on top of this blockchain. One of those projects is Polygon, which was the first to provide a nice platform for projects to easily integrate into the Ethereum blockchain, and utilize its smart-contracts feature. That’s why today, Polygon helps in Ethereum scaling, which is opening up the way for smaller projects to utilize a decentralized smart-contract ecosystem. This is definitely good news for Ethereum, as the more projects use its blockchain, the more adoption it has, and the more valuable it will become.
Polygon is the new brand name, which previously was “Matic Network”. Binance and Coinbase are two huge exchanges that back up this network. Having this backup is a huge advantage, as both exchanges seek to spread blockchain technologies as part of their business plans.
Today, many interesting projects work on top of the Polygon network, and that’s exactly what we’re going to talk about.
Why did Aavegotchi migrate to Polygon?
Aavegotchi is a project that combines Non-Fungible Tokens (NFTs) with Decentralized Finance (DeFi). Their game avatar tokens can be staked and people can earn staking rewards. Originally, this project was running on the Aave protocol. But recently, they made the shift to the Polygon network primarily due to the high fees that occur every time a holder transacted. This resulted in a debate in the Aavegotchi community. They all decided to make the move and shift to a scaling solution network. Many options were laid out:
- Ethereum 2
- Flow Blockchain
- Polygon Matic
- OMG Network
Polygon Matic was the only one that was basically reachable. Also, they provided Aavegotchi with decentralization, EVM compatibility, and ready infrastructure. Additionally, Polygon held an “Ask Me Anything” session where they answered all the questions and concerns. As a result, they were the clear winner.
Projects on Polygon Matic worth Mentioning
Polywhale (KRILL) – The first Yield Farm on Polygon!
Like every network, the very first project that uses your infrastructure has a certain kind of nostalgia. That’s EXACTLY what Polywhale is to Polygon. Polywhale is the very first yield farm on the Polygon Network. It is also a pioneer in DeFi on the Polygon Network. The project aims to incorporate multiple protocols and maximize the return of the users for the crypto assets. Krill is the native token of the project, and it is used to transact on the platform. Krill tokens get burned as part of the platform fees.
Polycat Finance (FISH) – A Polywhale Competitor
Inspired by Polywhale, Polycat Finance is a yield farm aggregator project with a twist. They have a referral system to increase their user base and incentivize people to refer each other. They also have a vaulted fee process, in which instead of burning those fees directly, they are used to generate earnings, kinda like what Aave does. Not only that, but they have an auto-compounding system that will help users’ earnings grow faster! Their FISH token has a capped supply of only 3,000,000.
So far, the project has proven its concept. It aims at becoming the “Pancakeswap of the Polygon Network”, and being the go-to Dapp for swapping and yield farming.
Polyfox (FOX) – Good concept, Big Problems
Polyfox is another copycat (or copyfox 🙂 ) of the Polywhale project. They also provide yield farming on the Polygon network. They also copied Polycat with their referral system. Additionally, they have a 1% transfer tax that gets burned directly when each transaction occurs. Good concept so far.
When we take a closer look at figure 3, we can notice a sudden drop in volume (currently USD 1,310), in transactions (currently USD 3,280), and in users (currently at 809 users). No one is still sure of what happened, but Telegram admins are claiming that the developers are not responding yet. We await to see what happens, but for now be very cautious.
The Polygon Network is a project that aims to scale Ethereum’s blockchain and open it up for other projects. They use child node magic to allow faster transactions and offer an extra opt-in layer of protection for additional security. Many projects are switching to Polygon or are establishing on top of this network. Polycat Finance is one example of a project built on Polygon, and has huge potentials in becoming the go-to platform for yield farming and swapping. On the other hand, one must always be very cautious when approaching new projects, as they might be very risky, just like what happened with Polyfox Finance.
Stay Ahead, Stay Updated