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Matic testnet sidechain announced their integration with the Celer state channel during ETHNewYork in a move set to enhance the efficiency and speed of service delivery for both companies.
The crypto markets seem to be struggling to recover from the recent crypto winter. However, developments in the underlying blockchains are heading upwards. Both the Matic and Celer network teams are happy to announce the successful integration of some of their primary services. During ETHNewYork the firms announced the integration of the Matic testnet sidechain and the Celer state channel.
The integration will offer the smoothest blockchain user experiences hence considerably reducing the costs of usage. It marks the first integration of two complementary off-chain scaling solutions worldwide. Matic and Celer are both layer-2 scaling solutions. Currently, Matic focuses on side chain technologies while Celer focuses on generalized state channel.
Integration with Matic will reduce the cost and delay of final settlement, initialization, and protocol failure protection. Hence, the latest merger is guaranteed to eliminate some major user experience challenges.
In the case of the side chain, integration with Celer Network’s generalized state channel technology will bring several benefits. The merger offers the possibility of instant interaction between users at no cost, high-frequency, enhanced efficiency, and smart contract interaction. Moreover, side-chain-to-root-chain and cross-side-chain instant fund transfer will come into existence. Thus, side-chain users will move their assets freely with no cross-chain delay.
What Use Cases are Most Beneficial?
Many low-cost and instant micropayment-based services are excellent examples of the integration’s use cases. These services include decentralized power grid payment system, data sharing, video streaming, usage-based insurance, network and compute resource sharing. Moreover, the integration lets low-cost permanent storage and high-frequency interaction to coexist in blockchain applications.
A major example could be a world of blockchain PVP games. In these games, the unique NFT gaming assets are traded and stored on the Matic Network sidechain. On the other hand, the real-time battle and trust-free interaction between global players happens via Celer Network’s generalized state channel. The channel potentially supports interaction across multiple game worlds.
This same design pattern could help in the construction of decentralized exchanges, high-liquidity financial derivative market, and much more. The integration seemed to enhance the market position of Matic.
As we published earlier, Matic surged by 76% in the wake of that integration. Matic’s daily trading volume of over $250 million exceeded the daily volume of larger projects like Cardano, Monero, and IOTA. Matic price surged as much as 76% to $0.32 on the day. Shortly before 16:00 ET, the crypto traded at $0.31 with a circulating market cap of $66.8 million. Celer Network rose 39.9% to $0.02.
Earlier in March 2019, we reported that the Celer’s Network ICO was completed in 17 minutes hosted on Binance LaunchPad. The sale for Celer Network (CELR) tokens got at least $3.9M from 3,129 investors in one session. Celer Network wants to develop a fast, scalable payments solution that uses smart contracts to offer zero-fee transactions.
Thus, the integration with Matic appears as a strategic move by Celer to achieve their ambitious plans and developments. For now, both companies have provided extensive information on how developers can use the integration today. These expected layer-2 scaling solutions will undoubtedly increase the rate of blockchain and crypto adoption around the world.