Polygon, and the roadmap for Ethereum as a settlement layer

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Vitaly Dmitriyevich "Vitalik" Buterin

Vitalik" Buterin is a Russian-Canadian programmer and writer who is best known as one of the co-founders of Ethereum. Recently he was quoted as saying the future of Ethereum is going to be more and more as a settlement layer, and in the future the majority of transactions were going to occur on so called second layer solutions utilizing plasma, roll ups and other similar ideas.

While his explanations are filled with technical details, which cause many non-developer eyes to tear up and brains to fail to follow. There were clear indications of the new directions of the Ethereum ecosystem, which May aide your investment efforts.

Concepts important to understand.

Ethereum does around 40 transactions per second or 40 TPS. (I may be off as it could be 50)
Second layer solution Matic does 70,000 TPS, and Polkadot or Solana are next closest in speed at 20,000 TPS.

Ethereum POS 2.0 May change Ethereum TPS 64x,
and while over a change to 2400 TPS is impressive, it’s not fast enough.

Vitally Buterin was a member/creator of the first second layer solution plasma strategy team, which is Matic.

Plasma emerged as the first functional second layer solution for Ethereum, and currently leads the ecosystem in being the platform of choice for developers to build their applications on.

Matic developers are from an Ethereum blockchains and DeFi origin. They are complimentarians not competitors. And they have taken great pains to provide security which relies on Ethereum s security features.

Vitally Buterin himself has said that the volume of DeFi transactions was growing so fast that Ethereum 2.0 was evolving into more of a settlement layer. And that second layer solutions that functioned in a complimentary fashion were where the majority of transactional volume would occur.

Second layer solution winners are being chosen now

It is interesting to read all the articles about the various secondary solutions out there. But only one was developed to be a complimentary chain to ethereum, using plasma, the strategy favored by Vitalic Buterin, and has become the home of hundreds of functioning decentralized applications, and has accumulated 4.7 billion dollars in total value locked in smart contracts. Matic, now Polygon.

Composibility and project specific solutions

Only one second layer solution has evolved away from offering one strategy and forcing developers to use it, and instead has presented developers with flexibility of application specific characteristic solutions, which provide the developers a choice of which secondary solution components they use focusing on alternative solutions to speed, security and other characteristics. The result has been an extraordinary amount of developer activity on one platform. Matic, now Polygon.

I suggest you research this area carefully, as most DeFi predictions suggest that is enough volume in the DeFi space to support Ethereum, Binance Smart Chain, Polygon, Polkadot and others. But one project is a few years ahead of all the others, and has the largest number of projects by far in the Ethereum second layer solutions community.

The rabbit hole of second layer solutions

This rabbit hole is quite deep and very winding. The more you learn, the more questions you have, and the answers to those questions bring more questions still.

It’s an exciting time to be excited about cryptocurrency, the blockchains, and the life changing, civilization changing application category may indeed turn out to be DeFi.

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