Where to Buy Polygon – Beginner’s Guide

If you’re looking to buy MATIC in 2022 you’re not alone. Polygon, a layer 2 protocol, is evolving as a new network solution, with investors wanting to buy Polygon crypto and add it to their main portfolio.

In this guide, we’ll help you understand the Polygon network and reveal the best crypto exchanges with the lowest trading fees.

Where to Buy Polygon Crypto

For smart contracts to become integrated and used at an institutional level, they must be reliable. The Polygon network has generated excitement in the industry because it successfully tackles Ethereum’s lack of scalability by improving transaction speeds and security.

Polygon is the most prominent Layer 2 protocol. MATIC has a market capitalization of $11.7 billion and is currently the only scaling protocol in the Top 20 coins by market cap. As an industry-proven protocol, Polygon is generating excitement among investors, indirectly translating to more exchanges listing and trading MATIC crypto.

Whether you have a long-term crypto investment plan for Polygon or just want to swing trade the token, the list below highlights the best exchanges where you can invest in Polygon crypto with ease.

1. Crypto.com – Multiply your Polygon assets with this one-stop-shop crypto exchange

Crypto.com developed as a crypto-only exchange allowing investors to access many blockchain products through a single platform. In addition, the platform helps normalize the use of cryptocurrencies in many circumstances. Thus, users can access DeFi to trade or swap crypto and use crypto staking to earn an attractive and stable APY on their Polygon assets. Moreover, Crypto.com has added an NFT feature to their exchange which helps traders and investors find the best NFTs on the market and get accustomed to the new digital trend.

Crypto.com attracts users with its cashback system. The platform has a partnership with Visa, and users who spend crypto using the Crypto.com card can get up to 8% cashback on their purchases. However, Crypto.com rewards from crypto lending or credit card purchases are all paid in CRO tokens.

Trading on Crypto.com also comes at a price. Traders pay a transaction fee of 0.40%, which decreases if the 30-day volume exceeds certain thresholds. As a result, users can pay as little as 0.04% for both market and taker, or if their 30-day trading volume exceeds $200 million, they only pay a fee of 0.04% for each. Crypto.com has a simple KYC process and offers several deposit methods. Investors who want to deposit using a credit or debit card have to pay a fee of 2.99% respectively 3.99% for smaller deposits.

Cryptoassets are a highly volatile unregulated investment product.

2. Coinbase – Trusted Crypto Exchange To Invest In Polygon For Beginner Traders

Coinbase can be considered the most user-friendly crypto exchange on the market. Coinbase’s welcoming and simple-to-understand interface makes it easy for retail investors to start investing in crypto. Coinbase is the only publicly traded cryptocurrency exchange on the NASDAQ and has gained a reputation as a trusted and secure exchange, making it a popular choice among retail and institutions alike.

Acting as a custodian for large institutional players like Grayscale, Coinbase puts a lot of emphasis on asset security. Platform users must enable two-factor authentication before they can start trading. Coinbase also has a lower entry barrier, making deposits starting as low as $2. However, that comes at a price in terms of fees. Users first pay a flat fee between $0.99 and $2.99. On top of that, credit card deposits also have to pay a 3.99% handling fee.

Coinbase has introduced Coinbase Pro, a service for avid traders that minimizes deposit and transaction fees on the platform. The good thing about Coinbase is that users can withdraw and deposit crypto without paying any fees, just the standard network fees.

Cryptoassets are a highly volatile unregulated investment product.

3. Binance – Best Way To Invest In Polygon Using Extended Trading Instruments

Binance is the leading cryptocurrency platform with the highest 24-hour trading volume. In addition, Binance differentiates from the previously reviewed exchanges by offering a more versatile trading experience. 

Platform users can opt for a simple trading experience or access different financial instruments like derivatives, futures, or margin trading that can enhance their profits. Binance is only partially regulated, which is why it can offer diverse trading experiences for both novice and experienced traders. Although traders can buy Polygon, some risks are associated with keeping your assets on Binance.

If you want to buy Polygon crypto on Binance, the platform allows crypto and fiat deposits; however, the platform has limited FIAT options. In addition, after completing a KYC, users can make deposits using a credit or debit card, which is subjected to transaction fees. Still, because Binance is not entirely regulated, not every national-issued credit card is accepted by Binance.

Cryptoassets are a highly volatile unregulated investment product.

What is Polygon?

Polygon is a layer-2 protocol built to increase Ethereum’s network efficiency by acting as an add-on layer for the ecosystem. Ethereum is the most popular and widely used smart contract platform, which currently handles a high network load. 

Over the past two years, Ethereum has been the epicenter of NFT, DeFi, and Metaverse coin development. However, due to Ethereum’s congestion issues, developers have sought new alternatives that can scale dApps without any issues. Polygon operates on the same protocol as Ethereum; however, it acts as a sidechain that is still connected to the Ethereum network. Sidechains have gained popularity because they do not affect the state of the original network and their interconnected framework allows layer-2s like Polygon to improve network capabilities.

Branded initially as Matic Network when it launched in 2017, the network was rebranded into Polygon by the start of 2021. However, MATIC was kept as the native utility token of the protocol. The protocol allows users to allocate their MATIC tokens to the network and become validators and delegators. In return, the network rewards users who stake their crypto with new MATIC tokens.

Ethereum uses a proof of work (POW) consensus mechanism, which has proved the network has limited capabilities. Polygon uses a proof of stake (POS) mechanism which allows transactions to be executed faster. Thus Polygon has a much more efficient transaction output than Ethereum. Proof of stake has become a new golden standard in the blockchain space as it proves to improve network security, resilience, and speed.

Ethereum has proven its limitations, and layer-2 networks like Polygon build new functions that facilitate smart contract integration without incurring such high transaction costs. Polygon is EVM compatible, and the protocols SDK allows any developer to build on top of Ethereum using Polygon without endangering their dApp security.

Additionally, Polygon is continuing its quest to improve the Ethereum network. Polygon has purchased MIR, another Ethereum scaling solution that adds zero-knowledge proofs or ZK-rollups to transactions. ZK-rollups let protocols like Polygon bundle transactions while limiting the necessary information needed to be revealed for transactions to be validated.

While Polygon has started as a Layer 2 solution, it has created an infrastructure that allows the protocol to bridge with multiple protocols that helps achieve network interoperability without compromising fees, transaction speeds, or security.

Is Polygon a Good Investment?

Polygon is one of the first protocol add-ons that has managed to address Ethereum’s shortcomings through a solution that doesn’t affect the network efficiency but rather enhances it. Below are the five reasons we think you should buy Polygon without thinking twice!

Cheaper Than Ethereum

Ethereum is an expensive chain. After the DeFi summer of 2020 and NFT summer of 2021, Ethereum gas has reached unimaginable peaks as high as $5,000. Polygon operates adjacent to the main Ethereum chain; Polygon dApps are not affected by any Ethereum congestions. Therefore, deploying contracts interacting with blockchain products like NFTs or DeFi becomes more affordable. It also means that blockchain doesn’t become restrictive due to higher fees.

DeFi is moving to cheaper alternatives

Ethereum’s DeFi market share is declining as investors seek cheaper protocols while still wanting to interact with top DeFi coins on more affordable chains. Polygon is currently the 8th largest DeFi protocol with a total value locked of $3.64 billion. QuickSwap, the native Polygon DEX, has a TVL of $805, and users who want to invest in Polygon can access decentralized finance with discounted fees.

Polygon is environmentally friendly

Proof of work is a frowned-upon consensus mechanism. On the other hand, proof of stake enables protocols to improve their network efficiency and minimize blockchain energy footprint. Therefore, investors who buy Polygon need to weigh the general advantages of POS, which allows the protocols to perform better in terms of security speed and have a lower environmental impact.

Lower entry for investors

Polygon has a lower entry barrier for investors. Because Polygon has a finite supply of 10 billion tokens, the value of MATIC, the native protocol token, still has more potential for the upside. Users who want to know how to invest in Polygon should consider the value Polygon brings to the decentralized space and the possibility of increasing in value as more developers make the switch to Layer-2 protocols.

It’s highly scalable.

Polygon’s proposition of creating a sidechain that operates on enhanced Ethereum parameters allows businesses to embrace blockchain adoption more rapidly. Institutional investors would see the value smart contracts add to the digital ecosystem without network congestion or unknown fees. Moreover, Grayscale Trust is already considering Polygon as one of the main projects featured in their smart contract fund, indicating scalability primes over network latency.

Polygon Price

The price of Polygon is in line with the adoption curve and general consensus that network scalability and transaction speed are needed for blockchain to be adopted at a larger scale. In addition, MATIC, Polygon’s utility token, has shown relative strength in terms of price action. 

At the time of writing, MATIC is trading in trading at $1.52, and even though the general crypto market has been on a downward trajectory, MATIC is still up from the same period in 2021. Additionally, users who want to buy MATIC should know MATIC reached an all-time high of $2.92 on December 26th, 2021, and should consider previous high points before making an investment.

Investors who want to understand how to buy MATIC should first look at the typical price ranges of the token. A brief technical analysis shows where support and resistance levels are situated. Investors should know there is a high buying pressure at a $1.31 support level, which could be the right entry point. Yet, there is still significant resistance at the $2.10 level, which could be challenged only if Polygon breaks its Bitcoin correlation.

MATIC is far from its previous all-time high. With a market cap of $11.7 billion, MATIC lost 45% of its total market cap since its previous high.

Polygon Price Prediction

Technical analysis and cryptocurrency price predictions are rarely accurate. Bitcoin is a volatile asset, and any drop in Bitcoin price automatically affects the best altcoins on the market like Polygon. Furthermore, due to a lack of market liquidity and the fact that crypto is still a new technology, crypto markets can act violently to news as social and economic cues heavily influence their prices.

Despite market unpredictability and Bitcoin’s sideways movement, Polygon price moving averages indicate a slight growth even though crypto is in a mini bear cycle. Although bear markets are a test for cryptocurrencies to prove they have been battle-tested enough, it would seem that investors who buy Polygon crypto could be in for a good surprise if Bitcoin makes a recovery.

Polygon has shown its resilience despite market turmoil. Although predicting the market is a shot in the dark, layer-2 solutions which are pushing towards network interoperability and scalability for mass adoption could be an investment hedge. Read more on our Polygon price forecast.

Ways of Buying Polygon

Acquiring cryptocurrencies has become much more accessible, even for novice investors. Users who want to buy Polygon crypto can use traditional payment methods to buy their first crypto assets.

Buy Polygon with PayPal

PayPal is a widely used digital payment platform that has removed money transfer intricacies. Since 2021, PayPal has allowed users to get exposure to major cryptocurrencies; however, they cannot invest in Polygon directly on PayPal. 

Buy Polygon with a credit card or debit card

Credit and debit cards are used globally to purchase goods and services, and they can be used to also invest in cryptocurrencies. Thankfully, regulated exchanges allow investors to make FIAT deposits and trade FIAT for their favorite crypto. 

How to Sell Polygon

If you are in profit and want to close your Polygon position, you must follow these simple steps. First, click on the bracket that says “Portfolio.” Then select your open Polygon position and click on the red x sign on the right of the row. Finally, select “Close Trade” to place a sell order. Once the sell order is executed, the platform will fund your account with the equivalent value in USD or your account currency.

Conclusion

This guide has shown how a layer 2 protocol like Polygon addresses Etheruem’s shortcomings and how it can enhance network reliability by building on top of the main Ethereum network. We also provided an overview of the four best crypto exchanges for new investors.

Now that you know how to buy Polygon crypto, you can sign up to Crypto.com, and take advantage of no deposit fees when starting your crypto investment journey.

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