What Is Polygon? An Introductory Guide
Cryptocurrencies are a form of digital currency that is used as a medium of exchange and can be stored in digital wallets. They also serve as an alternative payment method that can be used to pay for goods and services.
Cryptocurrencies are not controlled by any central authority or bank. Instead, they are decentralized which means they operate independently from any institution or third parties. These digital currencies have become popular due to the growing demand for them and their use as an asset class. This blog paper will introduce you to a relatively new digital coin called Polygon as well as how it can be bought, sold, and traded.
What is Polygon?
Polygon, which was founded in 2017, is an Indian blockchain platform. The formerly known MATIC aims to create a multi-chain blockchain ecosystem that is compatible with Ethereum, allowing for speedy transactions and low fees.
Other benefits of this digital asset include increased flexibility, scalability, and sovereignty of a blockchain project. Since its inception, Polygon has become one of the most popular cryptocurrencies, ranking in the top 15 in the crypto market.
How to Buy Polygon
Polygon can be purchased through an exchange service that facilitates the buying and selling of cryptocurrencies and then users to store their coins using a digital wallet. You can purchase Polygon using any of the available methods such as a credit/debit card, bank account, or brokerage account. Once the coins are purchased, they can be stored in a digital wallet on your computer or mobile device.
How to Store Polygon
Polygon can be stored in a digital wallet that is accessed through a mobile device or computer. These wallets contain unique codes that help you access, store and send coins. Some of the popular digital wallets include Coinbase, Circle, and Xapo. Polygon can also be stored in a centralized or decentralized digital wallet.
The centralized wallets allow you to control the entire wallet and its assets. This gives you the peace of mind that no one else will get access to your Polygon coins. However, centralized platforms are susceptible to hacks and cyberattacks. Therefore, some people prefer to keep their cryptocurrency in decentralized wallets as they provide users with better data and financial security.
How to Trade Polygon
Polygon can be traded through an exchange service such as KuCoin that allows the trading of a variety of cryptocurrencies. You can use an exchange to buy Polygon using any of the available methods such as a credit/debit card, bank account, or brokerage account.
Once the coins are purchased, they can be stored in a digital wallet on your computer or mobile device. Some exchanges allow you to trade cryptocurrencies (e.g ADA to USDT or BTC to USDT) without having to own them yourself.
This removes the hassle of managing multiple wallets and making sure that each coin is properly stored. With an exchange, you can store funds in a centralized platform, such as a broker’s account, and trade the coins from the account.
Benefits of Trading in Polygon
Liquidity: Since trading is done through a decentralized exchange, there is a high level of liquidity. This means that you can quickly and easily sell the Polygon if you want to exit the trade.
Low fees: Some of the most popular exchanges charge as low as 0.25% for trading cryptocurrency. This is much lower than traditional stock exchanges and gives investors a chance to trade Polygon and other coins without paying hefty fees.
High volume: Some of the most popular exchanges like Coinbase have high trading volumes, making it easy for investors to quickly trade their cryptocurrency.
Security: Decentralized Cryptocurrencies have no central authority that can be hacked. This means that there is no risk of losing your funds through a cyberattack.
Instant transaction: Trading through a centralized exchange means that there is a long wait time for your transactions to get executed. This is unlike decentralized exchanges where your Polygon order is immediately executed.
Conclusion
Cryptocurrency investing is the talk of the town and it is attracting a lot of investors. In this day and age, it is not easy to pick the right investment vehicle. There are hundreds of different virtual currencies available today, but only a few have managed to gain widespread adoption. But one can make their fortune with good research and a little bit of luck. Perhaps, Polygon could be the one to kickstart your investment portfolio.
See More: 6 Features of a Secure Bitcoin Exchange
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