Binance now accepts deposits on this Ethereum sidechain

Key facts:
  • For now, Binance does not allow depositing another Polygon token, other than Matic.

  • Token withdrawals on the Polygon network are not yet enabled in Binance.

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Users of the cryptocurrency exchange Binance, can now deposit the Matic token on the platform, directly from the Polygon network. This is an Ethereum sidechain that seeks to reduce commissions and solve scalability problems and uses, for this, its own accounting.

Previously, it could only be deposited Matic, which is Polygon’s native tokenERC-20 (Ethereum main network) and BEP-20 (Binance Smart Chain). With this incorporation in the exchange, it facilitates the conversion of currencies between different blockchains, centrally.

The fact becomes relevant due to that Polygon has gained ground in the field of decentralized finance (DeFi). Many protocols that were originally developed exclusively on Ethereum, extended their range of action to this new blockchain. Among them are Aave, Pool Together, Decentralized Games, Maker and Curve.

The Polygon’s main advantage over Ethereum it’s your low commissions. In Polygon transactions can be made with commissions less than USD 0.01; while, in Ethereum, these can cost the equivalent of tens of dollars if the network is congested.

So far, Binance has not made any official announcement about it, although CriptoNoticias was able to verify that the option of deposit Matic on your native network it is enabled on the platform.

Binance already accepts deposits of the Matic token on its native network, Polygon. Source: Binance.

Polygon users generally celebrated the fact that the largest cryptocurrency exchange on the market supports this blockchain.

This was said, for example, by the Twitter user @Guillenius, who mentioned that “the bridges will be finished”. He referred, in this way, to the systems that are used to pass tokens between blockchains, many times based on smart contracts and they are not always easy to use.

However, it must be stressed that the option, at least for now, it is available only for Matic deposits. You cannot withdraw Matic from Binance via the Polygon network, nor can you deposit other tokens that are developed on that blockchain.

Polygon: blockchain in the process of decentralization

The growth of Polygon, a network developed by Indian IT specialists, has been remarkable so far this year. This media reported that the company received capital from investors like Mark Cuban, chairman of the NBA basketball team, Dallas Mavericks.

Despite the fervor with which many enthusiasts of DeFi promote the use of Polygon, one of the criticisms that is often made about this network is its centralization. The number of validators (100 at the time of writing) is considerably lower than the nearly 4,000 Ethereum nodes. Under inform Polygon, there are plans to incorporate more validators in order to obtain greater decentralization.

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