While cryptocurrencies have been quite the rage over the past couple of years, nonfungible tokens (NFTs) have risen as an alternate asset class within the cryptocurrency ecosystem. This ecosystem is revolutionizing the world of art and gaming, among a host of other industries.
Serving as a digital certificate that proves a collectible’s authenticity, NFTs also provide investors with proof of ownership and utmost security, aspects that have been instrumental in their proliferation as the future of representing real-world objects in the virtual world.
As a result, NFTs are gaining increasing popularity among crypto investors looking to invest in metaverse platforms, with many purchasing these unique digital assets on blockchain protocols like Polygon using cryptocurrencies. A layer-2 Ethereum protocol, Polygon has emerged as the preferred platform for many NFT marketplaces that offer investors the opportunity to create, buy and sell NFTs.
Understanding the Polygon blockchain
Designed to address Ethereum’s scalability concerns, the Polygon network acts as a parallel blockchain or sidechain that runs alongside the Ethereum blockchain and uses a proof-of-stake (PoS) consensus mechanism to validate on-chain transactions.
Apart from providing the security, interoperability and smart contract features of the Ethereum blockchain, Polygon boasts significantly lower transaction fees, or gas, and offers developers a much higher degree of flexibility and scalability than that provided by Ethereum.
In fact, Polygon has come to be known as a multichain network of Ethereum-compatible blockchains. This is largely due to its ability to deploy other blockchain networks and enable communication among them, making it most suitable for developing decentralized applications (DApps).
With its Finity Design System and Polygon Bridge, developers can not only build cross-platform DApps but also connect them to other compatible blockchain networks to transfer assets such as ERC-20 tokens and NFTs to the Polygon sidechain. Consequently,…
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