SX Weekly #17 - Polygon Fee Surge
Plus SportX starts off 2022 with a bang and breaks $5m in weekly bets for the 1st time
📈 SX Snapshot
$SX Token Price:Â $0.53
SX Betting Volume (7d):Â $5.50m
SX Treasury Value:Â $40.9m
⛽ Polygon Transaction Fee Explosion
SportX started off 2022 with its best week ever, posting $5.5m in bets, which represented a 31% increase on the prior weekly record of $4.1m.
However, the platform has been experiencing a number of issues recently as the underlying blockchain platform that SportX is built-on - the Polygon Network - has become extremely congested as it’s adoption has accelerated. Since SportX was deployed on Polygon back in September 2020, Polygon transaction fees have risen an astronomical 10,000x! Here’s what that looks like in chart form:
It is a good time to be a Polygon Network MATIC token holder, as transaction fee revenue is now getting close to breaking $1,000,000 a day. This is remarkable growth when you consider that daily fee revenue was less than $10,000 a mere 6 months ago and less than $50/day this time last year! Blockchains are one of the most exponential business models in the world if the network is able to get real-world adoption.
💰 The SX Network Opportunity
While this rapid increase in Polygon transaction costs creates a ton of short-term headaches for SportX, it is possibly one of the most bullish developments over the last month for the SX Community - even more positive than the record high betting volumes. That is because the SX core team foresaw this eventual outcome back in June and has been diligently planning for it by building out the SX Network blockchain. The SX Network blockchain is now getting very close to launch.
SX Network will protect SportX from these increasing gas costs (as of today each bet costs $0.50 in MATIC gas) and the respective downstream stability issues it causes. More importantly though, SX Network blockchain will be open to other applications that are looking for a network with an identical technology architecture to Polygon but with far cheaper transactions and a completely new community.
Even though the current annual revenue run-rate (+$5m) and growth of SportX have been highly positive, if SX Network is able to get even a fraction of the adoption that Polygon has gotten over the last year, then it’s likely that the underlying network will end up being the most valuable technology the SX Community has ever produced. Buckle up!
💰 Get $1,000 in Bet Credits for betting in USDC
Go to SportX.bet, deposit USDC, and bet to get $1,000. Full video walkthrough here
💻 About SX Network
SX Network will be the first public blockchain to combine a smart contract platform with an on-chain community treasury and a native prediction market protocol. SX Network is a stand-alone smart contract blockchain built on the Polygon SDK. It is designed from the ground up for blockchain application developers with EVM-compatibility, low-cost transactions, and a PoS-based consensus model.
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