Will Polygon zkEVM Help with $MATIC Price?
Due to the current market conditions Polygon's MATIC price is having a hard time breaking the $1 resistance. If you are a fan of Polygon like me, seeing the platform's progresses throughout the years and its partnerships with major companies such as Mercedes and Adobe is very exciting. But the fact that the price of MATIC is still under a dollar is stressful. Don't get me wrong, I like the fact that the price of the token is still acceptable considering the current crypto climate but I'm wishing the price will rise by some margin.
Co-founder of Polygon, Sandeep Nailwal, recently twitted quoting David Schwartz that Polygon zkEVM is close to launch which is awesome. But what is zkEVM?
What is Polygon zkEVM?
To clarify first, zkEVM stands for zero-knowledge Ethereum Virtual Machine. The zero-knowledge (zk-rollup) technology is a layer 2 construction on top of Ethereum that solves scalability through mass transfer processing rolled into a single transaction. The "zero-knowledge" (zk) technology functions by minimizing data, boosting privacy and validating the correctness of rolled transfers on the Ethereum blockchain.
zkEVM can be beneficial by:
reducing transaction costs,
increasing the networks throughput,
maintaining high level of security,
providing seamless implementations of existing smart contracts and
providing scalable platform for new dApp projects.
How can zkEVM Affect the Price of MATIC?
Great projects on any blockchain ecosystem will usually lead to further adoption of the technology which I think will also be true for polygon. The zkEVM mainnet is expected to be available in early 2023 and will hopefully lead to the developments of amazing dApp projects on Polygon. I think this will do wonders to the price of MATIC. The price will also depend on the flawless implementation of zkEVM or at least implementation with few hiccups. The perception of the projects by the users can also have a great influence on the price but at the end of the day, only time can tell us on how good this project is for the price of MATIC.
So what are your thoughts on the project?...... Let me know in the comment section.
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Disclaimer
I am not a financial advisor. The information found here are for educational purposes and cite my personal opinion.
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