WHAT IS POLYGON BLOCKCHAIN?
We will see on this page how to use the Polygon blockchain and its DeFi part.
It is important to understand the difference between investing on a centralized exchange platform (CEX), and direct investing on a blockchain.
Presentation of the Matic token
Diversify your assets on Polygon
Presentation of the MATIC token
On Polygon, transaction fees are ridiculous and multiple decentralized services are emerging to the delight of users. Decentralized finance offers users very attractive returns without any transaction costs.
MATIC, Polygon's native token, is an ERC-20 quality token, i.e. it is programmed on the basis of the Ethereum blockchain. Polygon is an overlay of Ethereum, it's called a "Layer 2" chain, it's like a reflection of Ethereum technology on a much smoother service. The governance token is the main currency of the blockchain, it allows you to pay transaction fees and therefore perform operations on the various protocols of this chain.
Transaction fees on the Polygon sidechain are much lower than on Ethereum. The interest of a “Layer 2” channel is to be able to take advantage of the entire power of Ethereum and its “Smart C ontracts” without the constraint of transaction fees. This much less energy-intensive overlay therefore allows micro-amount transactions. Even transfers at pennies.
So keep an eye on Polygon, it could be that this blockchain takes a prominent place within the cryptocurrency ecosystem. 👀
The fees are so minimal that a transaction costs less than a penny in gas.
1) The Wallet
How to access Polygon's services?
Using a 3.0 wallet with Polygon
Before you can use the Polygon blockchain, you will need to have a web 3.0 wallet. You can use a wallet like MetaMask, Coinbase Wallet or Trust Wallet.
MetaMask allows you to store tokens on blockchains.
If handling seems complicated to you, you can invest
on Polygon more easily from Coinbase or Binance.
2) The Deposit
How to deposit funds on Polygon?
Deposit from a Centralized Exchange (CEX)
On centralized exchanges like Binance or Coinbase, the button to move funds to another network address is often indicated by "Withdraw" or Withdraw ".
Once this button is found, click and double-check the information for the future withdrawal. If the information is correct, validate the transaction and in a few minutes the funds will be in your 3.0 wallet.
⚠️Be careful, however, any address error could result in the loss of funds.
⚠️Some exchanges charge high fees when withdrawing and exiting assets from your account to an external wallet.
The operations performed below are on the Blockchain. You will need to have
governance token, to use it as Gas and carry out transactions.
Bridging funds from another blockchain to Polygon
What is a Bridge Crosschain?
The Bridge allows funds to be transferred from one Blockchain to another. For example if you have USDC on Binance Smart Smart , you can send your funds in USDC to the Polygon blockchain. This operation will waste you a few tens of seconds.
The principle is based on liquidity pools that guarantee the currency on each side of the network.
3) The DEX
Polygon's largest decentralized exchanges
Swap from a Decentralized Exchange (DEX)
Sooner or later you will have to use a cryptocurrency swap service, it will be the best alternative to transfer your funds to another currency, with no transaction fees. The biggest swap service on Polygon is QuickSwap. Initially, it is an AMM, a protocol allowing users to deposit crypto into liquidity pools and be paid for it.
Polygon's Automated Market Maker, with Swap and liquidity pool.
The cheapest service, available on ETH, BSC, and Polygon.
Bonus the Polygon faucet
What is a Blockchain Faucet?
A Faucet service will allow you to recover a few cents of governance token to start making transactions on the network. For example, there is a service to send 0.001 MATIC directly to your wallet.
As long as you do not have MATIC, you cannot use Polygon services. Indeed, transactions consume Gas in MATIC, if you do not have one, you will not be able to make a transaction and therefore move funds, swap, farm etc.
If you have bridged USDC from Binance Smart Chain, you will need to request a faucet to then trade your USDC for MATIC.
In the event that you do not yet have a MATIC token in your wallet,
Go to the macncheese.finance website,
Indicate your wallet address,
Validate the captcha,
Then click on the send button.
If you've sent funds to MATIC from a centralized exchange, you're ready to use Polygon!