Polymesh is a public permission Tier 1 blockchain focused on developing the security token industry. Using its utility token POLYX, it rewards and punishes actors in the blockchain ecosystem accordingly to increase blockchain security. POLYX also facilitates governance and sharing within the ecosystem.
What is Polymesh?
Polymesh is a Tier 1 public permission blockchain built for security tokens, which are digital contracts for fractions of real-world assets.
As a public permissioned blockchain, anyone can view the network. However, you must complete an authentication process to join. This verification process applies to all actors in the chain, from issuers and investors to shareholders and node operators.
In particular, node operators must be licensed and licensed financial institutions. This increases network security because these entities are more at risk of reputation than unidentified actors.
Polymesh enables market participants to enjoy the unique benefits of private and permissionless networks by offering trust to the network without sacrificing transparency.
How Does Polymesh Work?
Node operators and shareholders work together to secure the Tier 1 blockchain and validate blocks.
Node operators who successfully validate blocks are rewarded with POLYX, Polymesh’s service token. Stakers deposit their POLYX with node operators to increase the chance of node operators being selected into the validator pool every 24 hours. After node operators collect a commission of up to 10 percent, stakers will receive POLYX.
Polymesh uses a Polkadot-developed Proof-of-Stake (NPoS) consensus model to define the roles, rules, and incentives of the network. This system is designed to help improve the security of the blockchain as it makes malicious behavior costly and difficult to execute. Thanks to this mechanism, node operators and stakers are rewarded or penalized in POLYX based on their performance.
What are the Advantages of Polymesh?
Polymesh is one of the few Tier 1 blockchains built for security tokens. Currently, most securities-focused projects are Tier 2 initiatives built on pre-existing blockchains like Ethereum or Solana. However, Polymesh is a standalone Layer 1 blockchain.
With its infrastructure, Polymesh hopes to advance the security token industry by solving the challenges of governance, identity, compliance, privacy and consensus.
1. Management
Built on the Substrate framework, Polymesh leverages seamless upgrades to deliver forked-free architecture, so there will only be one version of the chain. An on-chain governance model with a council of key stakeholders can easily resolve any issue.
2. Identity
Unlike most public blockchains that allow anyone to join, Polymesh’s mandatory authentication process creates an on-chain identity for each individual or organization that joins the network. On-chain interactions can be traced back to known, real-world entities.
3. Do not comply
The ability to create and manage security tokens is built into the core layer of the blockchain. Additional features such as compliance and rules are optional and can be automated and enforced at the token level via smart contracts.
4. Privacy
Polymesh’s protocol MERCAT (Mediated, Encrypted, Reversible, Secure Asset Transfers) enables confidential asset issuance and transfers. While users can maintain trade privacy, Polymesh doesn’t have to compromise on compliance or transparency.
5. Settlement
Instant swap for both on-chain and off-chain assets is possible thanks to Polymesh’s on-chain swap engine, two-way transaction confirmation, and near-instant deterministic certainty.
What is POLYX?
POLYX is Polymesh’s native cryptocurrency. According to the guidance of Swiss financial regulator FINMA, it is classified as a service token under Swiss law. POLYX governance is used to secure the chain through staking and to generate and manage security tokens.
How and Where to Buy POLYX?
To buy POLYX coins, you must first know the exchanges where this cryptocurrency is available. Then you must have an account on one of these exchanges. After registering and logging into the account, you must load the balance into the wallet. After loading the balance by credit, debit card or bank transfer, you can buy the desired amount of POLYX coins. You can keep your purchased coins in a hot or cold wallet.
On Which Exchanges Is POLYX?
Cryptocurrency exchanges with POLYX are as follows:
- Binance
- Gate.io
- Huobi
- Bitvavo
- Upbit
- bitrue
- Nominex
- XT.COM
- Phemex
- Tapbit
- ZT
