5 Reasons Why Polygon Could Double Your Money In 2023

Buy Cryptos Now

Cryptoasset investing is highly volatile and unregulated in some EU countries. No consumer protection. Tax on profits may apply.

Last Updated January 5th 2023
9 Min Read

It seems that 2021 was the year of DeFi, with numerous projects emerging to revolutionise the cryptocurrency space. Several have seen significant price growth and investors are now faced with the challenge of identifying which DeFi project to invest in.

However, along with the growth of things like DeFi and NFT, there has also been a growing need for projects that can support the ever-increasing technical requirements of such things and provide the scalability that DeFi needs to become a viable alternative to traditional finance. 

Polygon is one such project. The Ethereum-based network is intended to be a framework to allow seamless interconnectivity for other Ethereum projects. Polygon also promises to solve Ethereum’s scalability issues by sharing the workload over multiple layers and allowing for a significantly higher transaction rate. 

Polygon is a complex project and it would be unfeasible to break down its technical particulars in this article, but it's enough to know that it provides a multi-chain platform that potentially solves many of the problems that have dogged Ethereum and associated DeFi projects in recent months. 

Naturally, this gives Polygon a huge amount of potential but in the following article, we’ll look at five reasons why Polygon could double your money in 2023.  

1. Polygon Solves A Major Issue 

As the DeFi industry continues to grow, ever more innovative projects are appearing. The problem is that many of the top projects are appearing on Ethereum and making huge demands of the network with regards to performance. This has led to issues of congestion and soaring GAS fees. 

Polygon potentially solves some of these issues. Effectively, Polygon is another blockchain that is built on top of Ethereum and can take some of the load off of the base layer with regards to network traffic. In theory, this should ease congestion and allow for Ethereum to process transactions at a much faster rate.

In addition, Polygon makes it easier for other Ethereum-based blockchains to work together. Styled as the “internet of blockchains”, Polygon claims to provide a specialised, modular framework with an interoperability protocol that allows Ethereum-based projects to exchange information, tokens and contracts whilst remaining decentralised and secure. 

Polygon isn’t without its rivals in providing a layer-2 solution to Ethereum’s scalability woes and integrating blockchains, but if it can emerge as the go-to provider then there’s every chance its native cryptocurrency, MATIC, will soar in value in the coming months. 

2. Polygon Is Already Attracting DeFi Projects

Polygon purports to solve a lot of problems that may have been holding many DeFi projects back, so it should come as little surprise that many have opted to shift their operations onto its platform. At the time of writing, Polygon hosts 49 DeFi projects compared to 214 for Ethereum.

In fact, in recent months many DeFi projects have migrated to Polygon - and not just nascent projects either. Polygon has been adopted by some of the top names in the space, including Aave, Curve and SushiSwap. SushiSwap alone has more than 15,000 active wallets on Polygon, compared to 4,194 on Ethereum, demonstrating its preference for MATIC.

Naturally, this has had a positive effect on the price of MATIC, which has surged by several thousand percent year-to-year. What’s even more interesting is that the spate of DeFi projects flocking to Polygon has actually coincided with a drop in Ethereum GAS fees.

However, this should not be seen as an indicator that Polygon is about to dominate Ethereum when it comes to DeFi. Many industry insiders have speculated that much of the shift is in anticipation of the Ethereum 2.0 upgrade, wherein developers want to build on Ethereum but need to use a scaling solution as an interim.

Potential investors should follow developments closely and keep track of new projects migrating to Polygon as the Ethereum upgrade nears completion. 

Crypto asset investing is highly volatile and unregulated in some EU countries. No consumer protection. Tax on profits may apply.

3. Polygon Has Big-Name Support 

Polygon hasn’t only attracted some of the biggest DeFi projects in the space, but it has also received investment from one of the industry’s most prominent financiers. US-based tech billionaire and serial startup investor Mark Cuban hit the crypto headlines in May last year when he confirmed a significant investment in Polygon

Cuban pointed towards Polygon’s high transaction rate as a key factor in its success and noted that it has exhibited “significant user growth” in 2021. Interestingly, Cuban has also stated that he is an “active user” of Polygon himself and when asked what its advantages were over other layer-two scaling solutions, he said: “It is fast; it works well, and most importantly, their user base is growing exponentially.”

Not only will Cuban’s investment provide a major boost to Polygon’s operations, but he also brings his expertise. “I can give them feedback on marketing, and we are in the process of integrating polygon into lazy.com, which we think will be very beneficial to creating a platform to extend NFTs and personal galleries,” commented Cuban. Lazy.com is a digital art gallery designed to showcase NFTs.

When a big name like Mark Cuban lends his support for a particular project, then it has a positive effect on investor confidence and suggests that MATIC could see some growth in the coming months. 

4. Polygon Is Only Getting Better

Polygon’s development team is always looking to innovate and improve the platform. As Ethereum 2.0 continues to be implemented, Polygon needs to improve to stay relevant - and it appears that that’s what the team are focused on doing.

In 2021, developers at Polygon announced the Polygonscan blockchain explorer, equipping the platform with a bespoke version of one of the most widely used tools in the cryptocurrency space. Polygonscan will allow users to collect data regarding their tokens, as well as prices and addresses on the blockchain.

According to Polygon’s website, PolygonScan should facilitate the launching of dApps on Polygon and improve the user experience for those on the platform, whether they be developing dApps, buying and selling NFTs or playing blockchain games. 

The Polygon team is also said to be working on additional scaling solutions for Ethereum, including a partnership with professional services firm EY with the development of Polygon Nightfall, further details of which are expected to be announced in the coming weeks. 

Check Out: Pros and Cons of Investing in Polygon (MATIC), Will It Be A Millionaire Maker?

5. Polygon Is A Good Option For Portfolio Diversification

Once upon a time, cryptocurrency investors basically had the option of investing in simple value exchange platforms, such as Bitcoin and Dogecoin or speculating on the future of smart blockchains, like Ethereum and Cardano. Now, however, there are a huge array of blockchain projects ranging from lending protocols to virtual gaming worlds.

This means that investors now have plenty of options when it comes to diversifying their portfolios and Polygon is definitely one to consider. Its utility for Ethereum-based DeFi projects means that MATIC’s price often moves out of sync with many other tokens that typically follow Bitcoin. 

Polygon also benefits from a reasonably low token price - $2.40 at the time of writing. Investors often gravitate towards coins with a low entry point as it allows them to gain a much larger holding for minimal outlay when compared with the bigger players like BTC and Ether. 

Polygon Price Predictions - Can You Really Double Your Money With MATIC?

There can be little doubt that a project like Polygon has lots of potential as an investment opportunity, but to start building an idea of exactly what we can expect from MATIC’s price movement in the coming months, its worth checking out some price predictions from top analysts.

TradingBeasts is expecting reasonable growth from MATIC over the next two to three years. It has the token up by 8.75% at the start of May 2023, reaching a potential high of $2.61 before things start to cool off for much of the year. Things will remain volatile for much of 2023, before Polygon gains about 33.33% on today’s price by the latter half of 2024. 

Elsewhere, DigitalCoinPrice is predicting even bigger things for Polygon. It has the MATIC token smashing the $3 barrier in 2023 and continuing to grow into 2023 and beyond. According to its technical analysis, DigitalCoinPrice believes MATIC could double your money as early as April 2023. 

Whilst these figures are by no means guaranteed, they are certainly a vote of confidence in MATIC and show that top platforms believe the project is likely to ride out the Ethereum 2.0 upgrade. 

Conclusion - Is Polygon A Good Investment In 2023?

Polygon is an interesting project that delivers a legitimate scaling option for existing Ethereum projects. Whilst it isn’t the only layer-2 solution out there, it is certainly one of the most well known and has demonstrated its ability to deliver on its original promise of boosting transaction speeds.

The fact that several prominent DeFi projects, such as Aave and SushiSwap, have migrated onto the Polygon platform is a testament to the project’s usefulness and if uptake continues then there’s every chance that Polygon will be established as the go-to scaling solution for Etheruem-based DeFi. 

We have also seen how leading market analysts are predicting some fairly impressive growth over the coming years, meaning now could be an opportune time to add MATIC to your portfolio. 

Anyone choosing to invest in Polygon will need to keep a close eye on developments with the Ethereum 2.0 upgrade - in particular, whether uptake of Polygon continues at the same rate once the Ethereum protocol upgrades are live.

Don't Miss: Polygon Price Predictions

Where To Buy Polygon

If you’re looking to add Polygon to your cryptocurrency investment portfolio, then you’ll need to find a reputable exchange that lists the token. There are numerous brokers to choose from, but we usually recommend eToro to our readers as it has one of the best reputations in the industry and offers a powerful yet user-friendly trading platform. 

Opening an account just requires a few details and you’ll need to provide a proof of ID, but the process is very simple and you can have an account up and running within minutes. Another great thing about eToro is there is plenty of information on the website to help novice traders get started.

Crypto asset investing is highly volatile and unregulated in some EU countries. No consumer protection. Tax on profits may apply.

Read More:

Polygon (MATIC) Trading Predictions

Will Polygon Make Me Rich In 10 Years?

15 Reasons Why You Should Invest In Polygon

Should You Buy Polygon (MATIC)?

Polygon Price Prediction for 2025 and 2030


What is Polygon?

Polygon is a layer-2 scaling solution built on the Ethereum blockchain. As Ethereum continues to struggle with sluggish transaction rates, projects like Polygon allow the latest DeFi projects to better meet user demands.

Will Polygon double my money in 2023?

Polygon is certainly poised for growth going into 2023. Some forecasts suggest that MATIC will be up by around 50% by 2023. 

Where can I buy Polygon?

If you want to buy Polygon (MATIC) then you’ll need to find a broker that lists the token. We suggest eToro for most investors as it is an approachable platform with a great reputation. 

What projects are on Polygon?

Polygon provides a scaling solution for Ethereum-based DeFi and so far it appears to have been successful. There are around 45 projects currently running on the network, including big names like Aave, Curve and SushiSwap. 

Is Polygon a good long term investment?

It’s difficult to say whether Polygon will continue to perform well once the Ethereum 2.0 upgrade is fully operational. Investors will need to keep a close eye on developments to see whether the project adapts to a different environment and whether emerging DeFi projects continue to show interest in using the Polygon platform.