What is Matic Network (MATIC)?
Matic Network (MATIC) is a Side Chain-based expansion solution for Public Blockchain. Matic Network describes itself as a Layer 2 scaling solution, using sidechains for off-chain computing while ensuring asset security using the Plasma framework and Proof-of-Stake hierarchical authentication network. Matic aims to become a practical platform for developers to deploy and run decentralized applications safely and decentralized.
MATIC – Token of Matic Network
MATIC is an ERC-20 standard token of the Matic Network platform. This token is used to participate in the consensus of Proof of Stake protocol, payment of transaction fees in the network.
After each transaction, a small percentage of transaction fees will be kept in the protocol to support project construction, enhance Matic ecosystem development.
Finally, the network disburses all that MATIC using the chain management system.
Matic Network’s solution
Although blockchain technology has a lot of potentials that can be applied in everyday life. But the reality is that the application still faces many obstacles due to the weaknesses in blockchains (including Ethereum and Bitcoin). The weaknesses are:
- The size of the blocks is limited making the transaction speed slow
- Poor scalability.
- Transaction fees are still relatively high.
- To solve these problems Matic Network was born with its own solutions.
Matic Network is a layer 2 solution that applies plasma technology and Proof-of-Stake (PoS) consensus protocols.
MATIC token use cases
There are three main use cases:
- Used for staking, participating in sidechain’s Proof of Stake consensus mechanism.
- Used to pay mining rewards to POS manufacturers and transaction fees.
- After each transaction, a small portion of the fee will be put into a separate fund. They will be used to enhance the Matic ecosystem.
There are 3 founding members listed in the whitepaper:
– Co-founder Jaynti Kanani: Chief Executive Officer (CEO) at Matic Network. Collaborators of Web3, Plasma, Walletconnect. Previously, Jaynti was a data scientist at Housing.com.
– Co-founder Sandeep Nailwal: Managing Director (COO) at Matic Network. Blockchain developer and entrepreneur. Previously, Sandeep was the CEO of Scopeweaver, CTO of Welspun Group.
– Co-founder Anurag Arjun: Production Manager (CPO) at Matic Network. Previously, Anurag held an AVP (Product Management) position at IRIS Business.
- Transfer Ethereum assets immediately
- Simplified user interface
- Interact with DApps without sharing your Private Key.
- Dagger is the fastest and easiest way to receive real-time updates from the Ethereum Blockchain
Components inside Matic Network
- DApps developers are people who use Matic Network’s solution to extend their DApps to help users better UI / UX experience.
- Stakers are people who stake Matic Token to have an important role within the network. They help with transaction processing, suggest suggestions and select block producers.
- Block Producers are people who help speed up block times. They must also implement stake Matic token to obtain this position.
Features of Matic Network
- Payment: Provides user interface, Payment API, SDK for DApps. This makes it possible for users to transact and pay for cryptocurrencies quickly.
- Instant Swap: Matic also allows users to swap, send and receive instantly any crypto assets on the cross-chain.
- Providing liquidity: By using Pool Liquidity, Matic Network can provide liquidity features to third parties participating in the network. In the future, Matic will coordinate with Pool Fiat to provide liquidity between Crypto-Fiat.
- Support DEX floor: provide solutions for DEX decentralized exchanges to make transactions quickly and cheaply.
- Authentication feature: Matic Network provides an open identity system to make transactions more secure
- Game Network: Matic Network devotes a large part to supporting Game DApps, especially the Dev team emphasizes supporting NFT Token games.
Characteristics of MATIC
– Scalability: Fast transaction speed with low cost and safety on Matic sidechains.
– High throughput: Reach up to 10,000 TPS on a sidechain when testing internal testnet.
– User Experience: Support Smooth UX Blockchain Matic, WalletConnect.
– Security: Matic sidechain developer is the creator of PoS system.
– Public Sidechains: Sidechains Matic is public in nature and supports multiple protocols.
Matic Network has many pioneering ideas about advanced technology and promises to be a potential project in the future. Hopefully, with the information shared above, you will have a suitable investment strategy for yourself.
You can check Matic price here.