How Polygon-based transactions are beginning to compete with Ethereum

Polygon [MATIC] maximalists have been having a good time after a range of new developments took place recently on the network. Crypto reporter Lark Davis confirmed that MATIC surpassed two billion lifetime transactions.

This is a major announcement for Polygon which has been one of the top-performing scaling solutions for Ethereum [ETH]. But that is not all as Polygon-based transactions are beginning to surpass Ethereum as well.

Source: Polygon Daily/ Twitter

Since Polygon’s inception, Ethereum has been able to complete over 1.5 billion transactions compared to Polygon’s latest milestone.

This gives Polygon an edge over Ethereum which is expected to increase its scalability after the Merge release.

Nevertheless, Polygon’s performance this quarter has surpassed Ethereum. The scaling solution managed twice as many average transactions as compared to Ethereum this quarter according to Polygon Daily.

Source: Polygonscan.com

Furthermore, as per the Polygon news Twitter account, Polygon Daily, the network hit a new milestone for Polygon-based NFTs. As per this tweet, NFTs sales volume reached a monthly all-time high on Polygon at $100 million in August.

This is the first time Polygon has been able to breach the $50 million resistance since its previous best performance in February 2022. Recently, the largest NFT exchange, OpenSea, enabled users to list and buy through native tokens on Polygon.

Source: Polygon Daily

What’s new here?

That being said, Polygon added Senken to its ranks in an announcement made on 5 September. Senken is an on-chain carbon credit marketplace that allows users to buy, trade, and retire tokenized carbon credits.

These are generated by on-chain carbon infrastructure and services built on Polygon.

We are excited to announce that the @senken_io on-chain carbon credit marketplace will be part of the ever-expanding @0xPolygon ecosystem ? 1/7 pic.twitter.com/TDqQhZuQBi

— senken (@senken_io) September 5, 2022

Where is MATIC headed?

After losing the $1 high in August, MATIC was trading at $0.89 at press time. According to CoinMarketCap, Polygon’s governance token saw over 2% gains in the past day adding to the 5.2% surge in the past week.

This puts Polygon in a strong position to benefit from the Merge as Ethereum’s increasing scalability will be beneficial to Polygon as well.

However, the rise of L2 scaling solutions such Arbitrum and Optimism will be a major threat to Polygon’s growth. It is widely speculated that we are approaching the L2 season which will be headed by these two protocols.