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The Ethereum network has become increasingly popular since its inception, and thus, the number of users and applications has created high levels of congestion across the blockchain. The Ethereum network is limited, and it makes that fees are pretty more elevated compared to other solutions. That’s why layer 2 solutions come to solve this long-lasting issue in some way, which also addresses the performance’s troubles that the Ethereum blockchain often faces nowadays.
In the midst of the non-fungible tokens (NFTs) hype, people are complaining about the high gas fees in ETH, as most of the NFT-related transactions are done via Ether, encouraging emerging projects to provide solutions to solve these problems.
Polygon (MATIC) and OMG Network are two of these Ethereum Layer 2 solutions that seek to improve the scalability for the Ethereum network and bolster the transaction speed.
However, which is the best one in the sphere? Let’s put them in context!
Formerly known as OmiseGo, OMG Network is one of these projects that crypto enthusiasts don’t want to miss out on because of the improvements it brings to the sphere. This layer-2 scaling solution based on the Ethereum network allows users to transfer ETH and other ERC20 tokens faster and cheaper throughout the Ethereum network.
It has the potential to leverage Ethereum to process thousands of transactions per second, or TPS, instead of the 10 to 14 TPS that the regular network is capable of handling. Of course, this project has its token dubbed OMG, whose maximum supply is set at 140,245,398 OMG. As of press time, the price of this token is quoting at $8.44, and it ranks at 89th place in the largest cryptocurrencies by market capitalization.
One plus of the OMG Network’s security is that its mainnet will eventually shift towards a proof-of-stake (POS) consensus system. That said, OMG holders could become stakeholders and strengthen the network by participating in the staking to validators.
On the other hand, Polygon, which previously was known as Matic Network, is one-of-its-kind. This project managed to switch Ethereum into a full-fledged multi-chain system due to its flexible framework backed by Polygon SDK that supports building multiple types of applications within its layer-2 solution. Moreover, Polygon’s solution is backed by Binance and Coinbase, focusing on solving many scalability issues of several blockchains.
In terms of transaction speed, Polygon can handle up to 65,000 transactions per second on a single side chain, with a block confirmation time of fewer than two seconds. As with OMG Network, Polygon has its token, MATIC, which is an ERC-20 coin based on the Ethereum blockchain. As of press time, it exchanges hands at $1.33 and ranks in the 21st place in the ranking of the largest cryptocurrencies by market cap.
You could have your choice between both solutions but bear in mind that Polygon is a fully backed project that has bolstered several fronts in terms of scalability on many blockchains. Also, its token is not a weaker one. However, OMG Network doesn’t lag in terms of transaction speed. With all that said, what is your preference?