By
Chimamanda U. Martha
April 17th, 2024
Polygon, the Layer 2 scaling solution for Ethereum, now joins Mark Cuban’s company portfolio and is likely to expand its footprint going ahead.
On Tuesday, May 25, Indian blockchain startup Polygon secured major funding from billionaire investor Mark Cuban. However, the terms of the deals aren’t public yet. With the latest announcement, Polygon also joins the Mark Cuban company portfolio.
🔥 @mcuban is one of the most prolific and insightful investors with investments in top startups and he is also one of the Sharks on @ABCSharkTank.
🙌🏻 We're proud to share that @0xPolygon is now part of the Mark Cuban company portfolio!
🌐 Visit: https://t.co/RZg0oIomFS
— Polygon Labs (@0xPolygon) May 25, 2021
Mark Cuban has been quite active in the crypto space over the last year. He has openly disclosed his investments in Bitcoin and Ethereum. Moreover, Cuban has also extended support to cryptocurrencies like Dogecoin (DOGE). Interestingly, Cuban-owned Dallas Mavericks also accepts all these digital currencies.
Polygon is the latest to join Cuban’s prominent blockchain and crypto portfolio. Polygon provides a Layer 2 Ethereum scaling solution co-founder four years back in 2017. Explaining about the recent investment from the billionaire, Polygon chief Sandeep Nailwal said:
“We have spoken to many investors, but the discussion with Mark Cuban was truly mind-blowing. It was so spectacular to know that the nuances of the industry, the tech and adoption we had figured out after months of grind, he was already thinking about those and had those questions in mind,”
Mark Cuban recently spoke about the utility-driven cryptocurrencies that reflect real demand. He sees a bright future of the industry going ahead. However, Cuban thinks that just “Having more TPS and lower gas fees is not enough”. He adds:
“There must be a CURRENT network effect and significant user growth. This is a challenge for most L1s and L2s because [with] few exceptions, marketing in the crypto universe is beyond awful.”
Polygon that Is Now Supported by Cuban Offers Effective Scaling Solutions on Ethereum
Polygon, formerly Matic Network, is an easy-to-use platform for Ethereum scaling and infrastructure development. The platform aims to integrate the convenience and utility of the existing decentralized ecosystem.
The Ethereum network has been facing a major congestion issue with a large number of users across different applications. This has further led to the issue of high transaction fees. Polygon, the Layer 2 scaling solution helps DeFi protocols and users bypass this high transaction costs of Ethereum.
The platform also aims to solve crucial issues associated with different blockchains like low speeds and high gas fees without at all compromising on its security. The demand for Layer 2 scaling solutions has grown significantly as the crypto ecosystem expands. As a result, projects like Polygon have been attracting more investments.
As the Mark Cuban news broke out, Polygon’s native crypto MATIC shot 40% moving all the way to $2.30 and a market cap of $14.3 billion. Over the last month, the MATIC price has surged nearly 400%.