POLY

Polygon and Major Brands: Catalysts for Web3's Mass Adoption?

by BSC News

August 10, 2023

chain

Positioned as Ethereum's scaling remedy, Polygon's strategic prowess has eased Ethereum's transaction congestion and sparked a wave of major global brands' interest.

The Rise of Polygon and Its Significance

Polygon, formerly Matic Network, swiftly rose to prominence as a top-tier scaling solution for Ethereum. Due to its strategic position as a Layer 2 blockchain on Ethereum's foundation, it can solve Ethereum's scaling challenges, which are crucial for mass adoption.

With a user-friendly approach, Polygon distinguishes itself from some blockchain solutions that might deter newcomers. 

Polygon's rise to prominence isn't solely grounded in theory; it has transformed practical sectors, with the gaming industry as a prime example. With its rapid, cost-effective transactions, Polygon has become a preferred choice for gaming platforms. Moreover, integrating Non-Fungible Tokens (NFTs) empowers players to take ownership of their assets in-game.

Having grown in popularity and well-established trust within the industry, Polygon has successfully raised $450 million through a MATIC token sale on Feb. 7, 2022. The funding round was led by Sequoia Capital India, with participation from Tiger Global, SoftBank, Galaxy Digital, and others. As a result of the significant funding, Polygon has grown over the last year, as seen in the number of active addresses and transactions.

Growth of the Polygon Ecosystem

Initially, Polygon focused on Decentralized Finance (DeFi) solutions, such as Decentralized Exchanges (DEX), carving a niche in the financial world. But a noteworthy pivot followed. 

In recognition of the growing potential of the gaming world, Polygon expanded its canvas to include Polygon Studios. Their overarching goal is to become the ultimate destination for NFTs and Web3 gaming. 

Delving into performance metrics, Polygon's numbers speak volumes. The number of transactions processed by Polygon has recently surpassed that of Ethereum by two to three times.  

Ethereum daily transactions over 12 months (Source)
Polygon daily transactions over 12 months (Source)

Further, since its inception, the Polygon blockchain has been on an upward trajectory, quietly accumulating a dedicated user base. Active addresses have surged over the last 12 months, and with this growth, a diverse array of partnerships spanning different sectors have converged around the platform.

Growth of Polygon PoS addresses over 12 months (Source)

Further, while Altcoins declined, Polygon's total value remained almost unchanged since January.

Polygon TVL since January (Source)

As major brands recognize Polygon's prowess, it continues to establish itself as a trailblazer, inviting users, developers, and businesses to shape its future.

In the following sections, we will explore Polygon's journey alongside leading brands. 

Collaborations with Major Brands: Polygon's Path to Web3 Dominance

Through Polygon's growth, major brands have seamlessly woven their presence, leveraging the blockchain's capabilities to enhance their offerings. Since the beginning of 2022, more than 80 brands have launched non-fungible tokens (NFTs) on the Polygon network until May 2023, according to insights from NFT Tech

The growth isn't limited to NFTs; Polygon's broader ecosystem has also seen substantial traction. From 2022 until last May, 320 brands have participated in Web3 projects. In particular, 90% of these projects utilize Ethereum Virtual Machine-compatible blockchains, with Ethereum and Polygon combining to account for 67% of total activity. 

Major Brand Collaborations in Focus

Delving deeper into the fabric of these collaborations, several stand out:

  • dotSWOOSH by Nike: Nike's foray into Web3 is captured in "dotSWOOSH." This platform introduces Polygon-based NFT products, including soul-bound NFTs of sneakers redeemable for their physical counterparts. This transformative endeavor embraces the evolution of digital fashion and accessories within Web3 gaming.
  • FireDrops by Flipkart: E-commerce giant Flipkart joins forces with Polygon Labs and Hang to unveil "FireDrops 2.0." This loyalty program reimagines brand loyalty through gamification, integrating NFT technology for a captivating user experience. With NFTs as rewards, brands nurture customer engagement and empowerment.
  • Starbucks Odyssey: The coffee giant collaborates with Polygon to craft "Starbucks Odyssey," a pioneering Web3 experience. Powered by Polygon's low fees and high-speed transactions, Starbucks Rewards members in the United States earn non-fungible token (NFT) collectible stamps, redefining the contours of loyalty programs.
  • Reddit Avatars: Reddit's third-generation blockchain-based digital collectibles, "Reddit Avatars," have found a home on the Polygon blockchain. This move has elicited anticipation and praise, accentuating the power of blockchain-based artistry and community engagement.
  • Etihad Airways: Etihad Airways extends its NFT journey with a 300-edition expansion of its Polygon-based EY-ZERO1 collection. These limited-edition NFTs offer digital treasures and tangible benefits, shaping new dimensions in the aviation sector.
  • Mastercard Artist Accelerator: Mastercard pioneers a spotlight program for emerging musical artists on Polygon. This initiative leverages Web3 and blockchain technologies to nurture creators, empowering them to craft their unique musical narratives within the digital realm.

With each partnership, Polygon's resonance in the Web3 landscape amplifies, affirming its mission to lead the evolution of blockchain-enabled experiences.

A Bridge to the Future: Polygon's Role in Web3's Evolution

In the captivating narrative of Polygon's growth, one resounding truth echoes: the collaboration between major brands and the blockchain ecosystem has unveiled a promising horizon for Web3. As mainstream companies intertwine with Web3-native applications, the boundaries of decentralized finance, NFTs, and blockchain gaming expand, transcending the confines of early adoption.

This confluence of established brands and the Web3 landscape signifies the dawn of a new era—an era where accessibility and innovation converge. The embrace of mainstream companies brings an audience unfamiliar with the intricacies of cryptocurrency. It's a pivotal step toward Web3's evolutionary journey, which inches closer to mass adoption over the upcoming years.

Related News

More News

;