Polygon Crypto Price Jumps on News of Disney Partnership

  • Polygon (MATIC-USD) and Disney (DIS) are partnering up through Disney's Accelerator Program.
  • The company will receive funding, a workspace and mentorship as one of six projects selected to participate this year.
  • Of the six, Polygon is the only blockchain project to be selected.
Polygon crypto - Polygon Crypto Price Jumps on News of Disney Partnership

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 Polygon (MATIC-USD) is surely feeling the magic today. The network is rising on news of a partnership with one of the biggest media brands in the world, Disney (NYSE:DIS). The news is helping the Polygon crypto, MATIC, to shake off some of the market bloodbath that’s been occurring over recent months. Will it be enough to propel the coin above its mid-$1 rut?

Layer-2 network Polygon is set to face some challenges in the coming months, even without market volatility. It’s built atop Ethereum (ETH-USD), the largest layer-1 decentralized application (dApp) network in the world. Much of Polygon’s draw is that it’s a fast alternative to the Ethereum chain; users can take their transactions to Polygon, process them, and avoid Ethereum’s long wait times and high fees.

It’s a model that has served well, particularly in the last two years as crypto has become more mainstream. With Ethereum’s active user base trending upward, the network isn’t able to accommodate these users very well as a proof-of-work network. Polygon gets to benefit as the workaround to this. But, with Ethereum set for its Merge upgrade soon, Polygon will need to shift in its main selling point. Ethereum will be transitioning to a proof-of-stake network, drastically reducing transaction times and gas fees.

With this in mind, Polygon is massively increasing the usability of the network beyond even Ethereum, with its own 4,000 dApps. Since October of last year, Polygon has grown its dApp network six-fold, bringing its total to 19,000. A network that can fulfill nearly any need one might have on the blockchain, Polygon will surely live on even as its selling point becomes more or less outdated. And this week, a new partnership is adding to the fundamental value of the Polygon crypto, MATIC.

Polygon Crypto Gets 20% Boost From Disney Partnership

MATIC-USD, the native Polygon crypto, is seeing a gain of over 20% this afternoon. With the market in the midst of its most bearish period in years, investors expect a major catalyst behind this kind of price movement. And there is; the network is getting developmental assistance from none other than Disney.

Disney is selecting Polygon as one of six projects to participate in its 2022 Accelerator Program. The Disney Accelerator Program is a way for Disney to help finance growth-stage companies in various goals. Typically, these goals revolve around a yearly theme. The projects then have a Demo Day to showcase their results.

This year, the company’s program centers around the themes of “augmented reality (AR), artificial intelligence (AI) and non-fungible tokens (NFTs).” Polygon is the only blockchain project to be selected for this year’s program. And, it is one of three Web 3.0 projects. In addition to the financial support, Polygon will have a work space provided to it. It will also receive mentorship from program employees.

The selection marks a major step for crypto and Web 3.0 technology to the mainstream. That explains MATIC-USD’s massive gains today, even in the midst of a severe market downturn. Prices are up 22%, and trading volume is up over 100%. It will be interesting to see whether the catalyst can help MATIC break through and stay above its price floor. After May’s market plummet, the coin has remained trapped between 40 and 60 cents. As of right now, it is trading at around 70 cents.

On the date of publication, Brenden Rearick did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.

Brenden Rearick is a Financial News Writer for InvestorPlace’s Today’s Market team. He mainly covers digital assets and tech stocks, with a focus on crypto regulation and DeFi.

Article printed from InvestorPlace Media, https://investorplace.com/2022/07/polygon-crypto-price-jumps-on-news-of-disney-partnership/.

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