The Polygon protocol (formerly Matic Network) was created to mitigate the high transaction costs and slow speed of the Ethereum network. Based on Plasma technology, it uses sidechains to build and connect blockchains compatible with Ethereum. It also enables the creation of decentralised financial applications available worldwide based on a single blockchain. It is based on the Proof of Stake validation technique.
Matic is the native token of Polygon. Originally launched in 2019 and rebranded in February 2021, the token has been a success. It is currently used for staking and paying transaction fees to secure the Polygon network. The total number of Matic tokens issued on the market has been set at 10 billion, and these will be in circulation by end-2022.