Polygon, a cryptocurrency platform, is buying Predicate Labs, the creator of the Mir blockchain technology, in a $500 million purchase as part of a broader goal to help extend Ethereum’s capacity and pave the path for wider use.
The purchase is part of Polygon’s $1 billion Ethereum push, and it will add to the Ethereum Layer-2 solution’s key acquisition as reported by Bloomberg.
While the Ethereum blockchain is one of the most widely used in the world, capacity issues might result in hefty fees for consumers.
What you should know
Mir uses a mechanism called zero-knowledge rollups to offload data from Ethereum in order to cut transaction fees and speed up processing.
Predicate Labs is the creator of the Mir blockchain protocol, which includes zero-knowledge roll-up technology that can offload data from Ethereum to speed up transaction processing and lower fees.
During this recent market correction, MATIC, Polygon’s native cryptocurrency, has seen significant strength.
Polygon’s MATIC soared to a new all-time high above $2.45 earlier this week, putting the cryptocurrency on a tear over the last two weeks.
According to on-chain data provider Santiment, the recent price climb in Polygon (MATIC) is accompanied by a significant increase in daily active addresses.
MATIC has been one of the best-performing cryptocurrencies in 2021, and it is currently the market’s 14th most valuable digital asset.