Matic is the cryptocurrency that fuels the Matic network, a decentralized network that operates on a side chain, implemented on the main Ethereum network, for the verification and validation of off-chain transactions.
The purpose of this project is resolve some of the key issues affecting dApps operation and user experience.
These problems, as is usually the case, are related to scalability and usability of a decentralized platform, and the cost and the speed of executing a transaction.
When tokens held by a user are deposited and confirmed on the Ethereum blockchain, the same balance will be reflected on the Matic network.
Using this system allows the Matic sidechain to commit a block in about a second and achieve cheaper and faster transactions.
Given the protocol infrastructure and its composition, Matic is an ERC20 token and the network it powers allows instant exchanges with all ERC20 and ERC71 tokens. Going forward, Matic already plans to allow exchanges between cryptocurrencies from different blockchains to improve interoperability between projects.
The smart contracts dedicated They will allow users to make crypto payments and receive any type of token they prefer; Matic will manage the conversion process of the different assets through the atomic exchange based on a cross chain system where crypto assets will be transmitted.
This will allow send BTC, for example, and allow the counterparty to receive the equivalent in ETH, all in the same transaction.
The Matic crypto asset was created for the purpose of being used to cover expenses related to transaction network fees and as a token of participation in the ecosystem to support PoS as a consensus mechanism.
Thanks to the high level of demand in recent years, it has also been integrated into various external platforms as a means of payment.
It currently has a market capitalization of $ 70 million and is ranked 86th among the top 100 cryptocurrencies in circulation.
Although it is in a prominent position compared to the other 5,600 existing cryptocurrencies, it has not managed to regain the huge loss, which in the second week of December saw its value drop by 70%, stopping the decrease at just over $ 0.01.
This decrease was caused by a wrong tweet, denied shortly thereafter by the chief operating officer of the Matic Network.
Exactly three months after this catastrophic event, between the end of the second and the beginning of the third week of March, the price of the cryptocurrency broke an important support, marking a new low at $ 0.007; Over the past twenty days, Matic's value appears to have settled in the area around $ 0.02, recovering most of his losses.