Polygon (MATIC) can be a valid source of income, too. Start earning passive income of up to 18% APR + compound interest right now with CoinDepo fixed deposit options.
Polygon, previously called MATIC, is a volatile coin and blockchain system designed in 2017 by Jaynti Kanani, Sandeep Nailwal, and Anurag Arjun. They wanted to address Ethereum’s increased scalability issues, similar to those that BTC experienced in 2017 when Bitcoin Cash appeared. It has attracted worldwide recognition from the international community of traders and crypto entrepreneurs, which prompts its growth and widespread usage on exchange platforms.
It was initially developed as part of the Ethereum blockchain network. Over time, the currency evolved into a separate payment unit, running on its blockchain and utilizing special security and operation measures. These include Layer 1 and Layer 2 solutions that help ease the overall burden on the blockchain and reduce transaction times and costs, increasing the overall customer comfort.
MATIC’s presence in a decentralized environment opens up a wide range of opportunities for both active money-making, which includes trading transactions on exchanges, and passive money-making, which involves crypto savings accounts, among other things. You can deposit your coins to savings accounts to withdraw them later with accumulated compound interest. CoinDepo is an innovative player offering such accounts.
What is Polygon (MATIC) Like?
The technical side of this cryptocurrency presents two different components: Layer 1 and Layer 2. The former includes the main Polygon (MATIC) blockchain. Users can create new tokens using Smart Contracts, the templates for token creation that are openly published. They can also use staking when you lock up a certain amount of your tokens on unique wallets to participate in the Polygon network governance and ensure stability and security. As a reward, clients receive an extra amount of MATIC tokens.
While the first layer is common to all cryptocurrencies, Layer 2 is a significant competitive advantage of MATIC. It includes sidechains and plasma. The former are additional separate blockchain systems strongly linked to the main system. This innovation helps to lighten the overall load and reduce transaction confirmation commissions & time.
Plasma is a set of tools developed by the creators of Ethereum for programming scalable, convenient, and stable “child chains.” They can process all transactions like regular blockchains, but apart from them. They use a different operation mechanism involving periodic connection to Ethereum for security purposes. This is another way to reduce the cost of user transaction fees.
Polygon (MATIC) has a maximum creation limit of 10 billion tokens, which means no more than that number of units can exist on the network. This large number, as well as the unique technology used by the coin’s software for operation and security, allows it to maintain a price of about $0.5 as of Fall 2023. Such a low price makes MATIC a manageable yet convenient asset for exchange transactions and store payments.
This currency is volatile, so its exchange rate is not pegged to protected assets, such as the USD or gold, and floats freely. Due to this feature, trading on exchanges and arbitrage can be risky as exchange rates fluctuate. An alternative could be cryptocurrency Compound Interest Accounts from CoinDepo, which offer favorable interest rates for savings in MATIC. Let’s take a look at this product to learn more.
CoinDepo’s Savings Solution Explained
Compound Interest Account is one of the products in the CoinDepo family, which provides solutions for storing and crypto loan. These accounts provide you with the opportunity to deposit any amount of MATIC into a unique wallet that will collect interest earnings over a compounding period of your choice.
Six compounding plans are available in total. They meet short-term and long-term investment goals with respective annual percentage rates. Here they are:
- 12% APR + compound interest daily;
- 12.5% APR + compound interest weekly;
- 14% APR + compound interest monthly;
- 15% APR + compound interest quarterly;
- 16% APR + compound interest each six months;
- 18% APR + compound interest annually.
Answers to Common Questions about Compound Interest Accounts
In case you have questions, see answers to the most common ones.
What does the APR mean?
Let’s say you choose the daily compounding plan; then, the interest will be calculated as if you were going to wait a year. However, you are not and, therefore, will receive your crypto amount plus a sum for one day of storage. Given this, the annual plan is the most advantageous if you want to earn the maximum amount.
Who might need a compound savings account?
Users who seek to obtain a passive source of renewable income while avoiding the risks of volatility and receiving the opportunity to diversify their business strategy will benefit from such accounts. They are also helpful for people who want to join the crypto industry but need more time and energy to research exchanges, trading, arbitrage, and similar areas.
How do you know whether you should invest more MATIC coins or stop?
CoinDepo offers a monitoring system that shows all changes in your savings income. The system is available immediately after activating your Compound Interest Account.
What guarantees does CoinDepo provide?
Indeed, no such service can provide you with a complete guarantee that your money will not be eaten up by inflation or stolen by third parties. However, CoinDepo can provide advanced security solutions. The service requires confirmation of all withdrawal operations, sends alerts when logging in, requests an Email Verification Code, and uses cloud technologies, SSL Data Protection, CCSS, MPC-CMP keys, and two-factor Authentication.
What is the difference between Compound Interest Accounts for volatile cryptocurrency and stablecoins?
Since the former has a fluctuating value, interest rates range from 12% to 18% per annum + compound interest, significantly lower than the rate for stablecoins. The latter starts from 18% to 24% per annum + compound interest.
The additional questions regarding the technical side of Compound Interest accounts are covered on the FAQ page on the website. How do you start making money on compound savings accounts? Read the explanation below.
Getting Started on CoinDepo
Before making money on CoinDepo, you need to register a free account. The process involves linking your email address and creating a strong password. Next, you must verify your account using one of your identification documents to increase your deposit and withdrawal limits.
Then, it is time to deposit the required amount of MATIC into your Compound Interest Account wallet. Notably, the service does not require any commissions for any transactions. After you do it, pick a compounding plan suitable for your investment goals: daily, weekly, monthly, quarterly, every six months, or yearly. You can change the compounding option anytime.
After that, all that remains is to study the statistics on your profits using the special CoinDepo interface and withdraw your MATIC coins if you want to. You can also contact support to ask questions not answered in the FAQ.