Bernstein stated Wednesday that the success of Polygon’s blockchain in scaling Ethereum has shown that developers need to reach mainstream consumers, and not just the crypto cult. According to the report, the success of blockchain has been due to its ability build a more mainstream customer portal.
Bernstein stated that Polygon boasts a large user base, with approximately 170 million addresses. Some 300,000 of these are considered active. It is growing at an average of 80,000 users per day.
Bernstein stated that the network was the first to offer Ethereum scalability with its Proof-of-Stake (PoS chain) which encouraged leading Decentralized Finance (DeFi) and Non-fungible-token (NFT) applications to sell their products on the platform. Polygon has lower fees which makes it easier for trading platforms Uniswap or OpenSea, to meet retail demand.
Mainstream corporations have chosen The Polygon Blockchain
The broker noted that Meta (META), Stripe (SBUX), Starbucks (SBUX), and Robinhood (HOOD), all selected Polygon to be their “first integration partners to build Web3 experiences.” It also said that Polygon’s strong partnership pipeline allows for growth and on-ramps for millions of users.
Polygon’s “other secret” is its organizational structure. Analyst Gautam Chhugani wrote that the blockchain hired from YouTube (ABNB), Electronic Arts(EA), Amazon Cloud, and other large corporations in order to create a “truly global organisation.
DeFi can be described as a broad term that covers lending, trading, and other financial activities done on a blockchain. NFTs, digital assets that are stored on a blockchain and represent physical or virtual ownership, can be traded or sold.
The note stated that Ethereum’s recent migration from PoS to PoS, also known as the merge, is a sign that the blockchain is creating a “rollup-centric scaling roadmap.
This context means that Polygon will continue to invest in rollup technologies like zero-knowledge rollsups. However, their success is likely to depend on organizational and business development efforts,” Bernstein stated. He added that they are more business-oriented ecosystems, focusing on creating a consumer gateway by leveraging partnerships with top consumer brands.
Polygon’s success has demonstrated its ability to create a more mainstream customer gateway, the note said. Now, the focus is on zero-knowledge ecosystem (ZK).
The Merge is one of five upgrades that are planned for Ethereum’s blockchain. Rollups Scale the Ethereum network by processing transactions, executing smart contracts and other computer programs that run on certain blockchains.