Solving the scalability woes of Ethereum, the Polygon network grew from strength to strength and is one of the biggest success stories of 2021. With the price of its native token $MATIC climbing over 5500% this year alone, Polygon is now home to over 500 dApps, each of which benefits from the network’s unrivaled scalability, security, and speed.
Due to its rapid growth, the DeFi ecosystem needed a decentralized exchange (DEX) that could advantage the Polygon network’s many users, and it came in the form of QuickSwap. This layer-2 DEX is uniquely poised to benefit from Polygon’s scalability and high throughput, providing users with lightning-fast transactions and near-zero gas fees.
Now, in what could be considered a significant milestone for QuickSwap, Polygon itself recently jumped on board to help propel the DEX’s success. In a recent announcement, the layer-2 DEX shared that the Polygon Network has offered the project a grant of $1 million in MATIC.
QuickSwap intends to use the grant to provide liquidity for the dual-farming of select crypto pairs, including MATIC-ETH, MATIC-USDC, MATIC-USDT, and MATIC-QUICK. This is an effort to boost the adoption of QuickSwap, much like what Polygon achieved when it provided a similar grant to Aave earlier this year. The grant resulted in unprecedented growth in total volume locked (TVL) on Polygon through Aave, thus benefiting both projects. The $1 million grant to QuickSwap could have a similar effect.
When the intended success hits, QuickSwap aims to offer multiples more than the received grant in the form of QUICK rewards for each liquidity pair. QUICK is DEX’s native token that gives holders the right to participate in network governance and can also be staked to earn a percentage of the trading fee that the protocol collects.
With gas fees on the Ethereum mainnet skyrocketing and transactions taking forever to process on popular DEXs, QuickSwap comes as a boon to the DeFi ecosystem. For reference, a fast transaction that can cost $40 and beyond on Uniswap can be completed for around $0.00001 on QuickSwap, thanks to the scalability of the underlying Polygon network.
This is why increased adoption for QuickSwap will mean better user experiences for millions of existing users and seamless DeFi adoption for new users who were previously deterred by the transaction costs on DEXs.
Here’s an example from just last week of one user who refused to pay Ethereum’s high gas fees to trade.
Polygon’s official recognition and the grant come at a crucial time for QuickSwap and could help propel the DEX – and the dragon mascot who represents it – to greater heights.