The number of transactions and active wallets shoot up
The Polygon Network bridging service has improved numbers in the last seven days as traders gravitate back to the Polygon network amidst more favorable trading conditions. The Polygon asset bridge allows traders to bring tokens from other blockchains, such as Ethereum, to the Polygon ecosystem. The bridge provides the network with much-needed liquidity and enables traders to make token swaps at a fraction of the cost to Ethereum.
At the time of writing, the Polygon Proof-of-Stake (POS) bridge has seen an uptick of almost 18% more active wallets interacting with its smart contracts week over week. Taking the number to just shy of 28,000. Those wallets completed 41,140 transactions, driving over $449 million in volume through the dapp.
Scalability
A bridge is a set of contracts that help move assets from one chain to another. Traders can use dapps on Polygon that perform the same services as on Ethereum dapps, but for a fraction of the costs. When done, they can send the assets back to Ethereum if they wish. Keep in mind, when users bridge assets Ethereum and Polygon fees apply. The former of these two chains will make bridging a costly practice.
There are primarily two bridges to move assets between Ethereum and Polygon. The first is the Plasma bridge, and the second is called the PoS Bridge or Proof of Stake bridge. Plasma bridge provides an increased security guarantee due to the Plasma exit mechanism. However, there are certain restrictions on the child token, and there is a 7-day withdrawal period associated with all exits/withdraws from Polygon to Ethereum on the Plasma bridge.
The Polygon POS bridge provides a scaling solution that is near-instant, low-cost, and quite flexible. Polygon uses a dual-consensus architecture to optimize for speed and decentralization and an architectural design that supports arbitrary state transitions on sidechains, which are EVM-enabled. It’s important to know that there is no change to the circulating supply of a holder token when it crosses the bridge.
- Tokens that leave the Ethereum network are locked, and the same number of tokens are minted on Polygon as a pegged token (1:1).
- To move the tokens back to Ethereum, tokens are burned on the Polygon network and unlocked on the Ethereum network during the process.
Putting gas on the fire
Vitalik Buterin, the man behind Ethereum, acknowledges gas fees are too high, so it makes sense to bring tokens to a blockchain where fast transaction times are the norm and costs are much lower. If users want to, they can easily send their tokens back to the Ethereum blockchain from Polygon.
Check out the DappRadar ranking for the Polygon blockchain here and learn more about Polygon POS bridging here.
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