Matic is seen as one of the most reliable cryptocurrencies in 2021. Matic is believed to rise further up in the future and is believed to power transactions and reimburse the payment on the Matic network. The Matic network has recently come to be known as Polygon after their merging.
What Is MATIC?
Matic is the coin that powers the Polygon network and its price has recently touched an all time high amounting to $2.7. The coin strives to expand the interworking of the Ethereum network and the other supporting blockchain networks. The coin has seen a growth surge by 30%. The value of Matic went from a meager $0.01 on 1st January 2021 to $2.16 on 16th December 2021. The escalation in the price of Matic is related to the surge in the price of Ethereum. Matic aims to reduce the transaction fees and increase the transaction speed for users who wish to make payments through cryptocurrency. Matic provides advantages to users by being highly scalable and providing a secure and smooth experience to users.
Working of MATIC Coin
The Polygon network, operating on a multi-level platform, strives to scale Ethereum with a wide range of sidechains which unclogs with the chief platform efficiently and in a cost-effective manner. These sidechains are unique which bind with the chief Ethereum blockchain and effectively support many decentralized finance protocols in Ethereum. Users who wish to utilize the Matic sidechain should verify the Predicate contract on the Ethereum network and bolt the tokens which are to be sent on the sidechain. The tokens are stored on the sidechain automatically upon the completion of verification.
Smart contracts named “RootChainManager” and “ChildChainManager” measure the bolted tokens properly on the Polygon network. After accepting the coins on the Matic sidechain, they can be used for minor expenses and be moved within the network quickly. Users can exchange liquidity using a decentralized network at the cost of pennies rather than costing them a huge amount.
And when a user wants to extract the tokens to Ethereum, they must be scorched on the sidechain and must be verified which is to be delivered to the Ethereum mainchain.
Advantage of MATIC Coin
Matic coin has several advantages over the Ethereum blockchain. It has a faster transaction speed and the transaction fees charged is also lower than that charged on the Ethereum blockchain. Thus Polygon network is a popular choice for conducting transactions in decentralized finance. Users can also stake Matic coins for securing the network and earning rewards. Polygon has a lot of potential uses and can be scaled when the number of users increases which indicates that it can be used on a large scale by the mass. More users are shifting to utilizing Polygon for transactions. It is appreciable for decentralized finance apps.
Disadvantages of MATIC Coin
Matic coin does not have any disadvantage as such. There is a lot of competition from other scaling solutions. Another disadvantage is that the market cap ratio is high which might lead to overvalued assets. Strict regulations might discourage users to invest in cryptocurrency and might dismantle investments made in the Polygon network. Investing and trading in Matic coins can be risky and many have lost millions of dollars. One should invest money that one can afford to lose.
Future of MATIC Coin
The Matic Coin is predicted to considerably rise in value in the near future. The rapid increase in the value of Matic coins is because Polygon is viewed as being eligible to dethrone Ethereum as the chief facilitator of decentralized finance transactions. Polygon is predicted to become the future of decentralized finance transactions owing to its faster transaction speed and lower transaction costs. The Polygon network will soon replace Ethereum, its main blockchain.
MATIC Coin Price Prediction by Experts Talk
An expert analysis of CoinQuora suggests that the Matic coin will rise to a value of $7.50 in the coming year and which will result in a growth of 225% from its recent price. In the first half of 2022, the value will keep rising to $8 and then slow down with no considerable depreciation in value.
WalletInvestor.com forecasts that the coin will have a value of $4.52 by the end of 2022. Fluctuations are predicted but simultaneously the price will rise by 96% of its current value.
DigitalCoin Price, another website, predicts the price to reach $3.74 in 2022, $4.55 in 2023, $6.51 in 2025 and $9.62 in 2028.
As per the CryptoNewsZ, Polygon matic price would be $3.6 in the year 2022, you can visit here for long term future price of matic coin.
While there are contradictions in the price prediction of Matic coins by various websites, there is no doubt that the token will see a considerable rise in value in the coming years since its utilization and popularity will continue to grow. The demand for Polygon appears to be accelerating but investors should keep in mind the volatility of crypto assets often leading to crashes and invest intelligently.