POLYX Price Surges Over 30% in the Past Month, Showing Impressive Growth

Up 7.5% since yesterday, POLYX went on to hit $0.145 on Thursday. As of writing, POLYX is trading at $0.140, still up 2.4% against USD and 1.5% against BTC, while managing over $9.8 million in 24-hour trading volume, up 270% from a day ago.

POLYX is a $117.4 million market cap coin that saw a 31.4% increase in its value in the past 30 days and is also in the green by 24% over the past year. 3

2023 has been a good year for the token, which started the year around $0.115 and rallied 88% when it hit $0.216 in mid-February. While the price subsequently dropped to $0.143 in early March, it yet again soared as much as 110% to $0.3 on April 21.

Over the next two months, POLYX’s price crashed to $0.105 in tandem with the broad crypto market and dropped to its all-time low of $0.10 but has since seen its value rising by 39.69%. Overall, POLYX is still up 26% year-to-date (YTD).

POLYX is the native protocol token for Polymesh, a security token blockchain making tokenization accessible for institutions. 

The public blockchain for security tokens went live in Oct. 2021, while the token POLYX was released in Sep. 2021. About a year later, in Oct. 2022, the token hit an all-time high (ATH) at almost $0.50 but has since lost 71.6% of its value as the broad crypto space experienced a bear market.

Acting as the Polymesh blockchain’s fuel, POLYX enables the creation and management of security tokens. As a utility token, POLYX is used for paying transaction fees along with a range of other functions related to the network’s operations, such as signaling on governance proposals or staking on node operators to secure the chain. Based on Swiss financial regulator FINMA’s guidelines, POLYX is classified as a utility token under Swiss law.

Currently, just over 830 million POLYX tokens are circulating in the market with no limit on max supply as new tokens are created based on an algorithmic supply schedule. 

The main mechanism to build the supply of POLYX is through the one-way POLY:POLYX Upgrade Bridge that allows users to upgrade their Ethereum-based POLY tokens to POLYX tokens on Polymesh at a 1:1 ratio. However, after over two years, the POLY to POLYX Upgrade Bridge will close on January 31, 2024. 

The POLY to POLYX Upgrade Bridge will be made permanent by removing the bridge module, which means those holders who do not use the Bridge by the closing date won’t be able to upgrade their tokens ever again.

With almost 75% of the original supply upgraded to POLYX, the platform took this big step to close the Upgrade Bridge on the sixth anniversary of the original launch of POLY. This move, according to the Polymex team, “signifies confidence in the unique utility of POLYX to fuel the Polymesh ecosystem. “

Newly minted POLYX will now be created for block rewards with a max of 14% of the total supply minted annually. The amount of newly generated POLYX used for rewards will also be fixed at 140 million annually to prevent the continuous acceleration of inflation up until the supply reaches 1 billion. 

Recently, the protocol underwent a 5.4.1 upgrade, so the treasury would no longer be getting a portion of the fees. Instead, 100% of transaction and protocol fees on Polymesh go to Node Operators. Prior to this update, there was an 80%/20% split between the Polymesh Network Treasury and Node Operators. 

“This upgrade increases the decentralization of Polymesh and encourages Node Operators to join the ecosystem,” noted the platform.

In April this year, the world’s largest cryptocurrency exchange Binance also became a node operator on Polymesh. Currently, the platform has a total of 42 node operators.

As a node operator, Binance helps run the blockchain, verify transactions, and stake POLYX directly through its platform to let holders reap the rewards by locking up their tokens. Binance’s partnership advanced Polymesh’s mission to make regulated asset trading more accessible to a wide range of clients as well as gave the platform a massive boost in visibility, credibility, and security, as noted by Polymesh at the time.

Click here to learn all about investing in Polymesh (POLYX). 

Polymesh (POLYX): A Blockchain for Securities

Polymesh is an institutional-grade permissioned blockchain built specifically for regulated assets. It streamlines traditionally inefficient processes and opens the door to new financial instruments by solving the challenges around governance, identity, compliance, confidentiality, and settlement.

Today, most blockchains are built for pseudonymity, censorship resistance, and transparency and rely on probabilistic settlement. Not to mention, apps built on top of these blockchains struggle with processing the complex logic required to comply with regulations. 

Securities issuance and transfer, however, require a known identity. As such, Polymesh’s specificity, in addition to a customer due diligence (CDD) process, makes it a perfect fit for securities by ensuring all actors on the chain are verified, and transactions are authored by permissioned entities.

At the same time, Polymesh has engineered a secure asset management protocol that enables confidential asset issuance and transfers due to the need for most market participants to keep their position and trades private, which is not possible on general-purpose blockchains. 

As for settlement challenges that prevent the blockchain from serving as a golden record for asset ownership, Polymesh has created assets at the protocol layer. This approach allows the platform to provide a simplified approach to transfers that means instant settlement without pre funding while preventing unwanted airdrops through trade affirmation and deterministic finality.

To guide the chain’s evolution, Polymesh uses Substrate Framework for forkless runtime upgrades and has a Governing Council to find consensus. This way, Poymesh gives its chain, as well as the apps built on top of it, an advantage over regular general-purpose blockchains.

The platform has made it pretty easy to get started as well, one just needs to download the digital wallet, enable the browser to interact with the network, and then get verified. Being a platform for regulated assets means every user has to pass a minimal identity verification check as part of Polymesh’s CDD requirement to explore the world of Polymesh.

The Polymesh Portal recently got an uplift to make the entire process easier. The new interface for interacting with the blockchain also gives the user a snapshot of their Polymesh assets as well as the ability to manage portfolios, settlements, permissioned actions, account claims, distributions, and more.

Besides upgrades and improvements, Polymesh also made several collaborations this year, including NayaOne, a leading platform for the financial services industry. This integration provides exciting opportunities for financial institutions to effectively and efficiently leverage the benefits of blockchain and build innovative products tailored to their unique needs. 

Another groundbreaking strategic collaboration has been with a Korean digital asset custodian to launch an innovative project harnessing the global appeal of K-Culture and the power of security tokens on the Polymesh network. By bringing fans, artists, producers, and investors together, the project aims to unlock new engagement opportunities and propel the adoption of security tokens in Korea and beyond. The project is slated for a launch later this year.

Earlier this year, the project also saw the launch of the first natively-issued US-dollar backed stablecoin called Stably USD ($USDS) on its blockchain. This allows issuers and investors to interact with security tokens on Polymesh in a stablecoin instead of other volatile cryptos. $USDS, which is just the start of an ongoing collaboration between Seattle-based Web3 payment infrastructure Stably and Polymesh, can also be used to securely bridge liquidity between Polymesh and the 12+ other blockchains.

Click here to learn all about buying Polymesh (POLYX). 

Regulatory Shifts Unveiled: Navigating the Future of Digital Assets

Amidst its continuous development, Polymesh released a report titled “Regulatory Developments in Digital Assets: Asia Pacific” this week, noting that regulators worldwide are racing to lay down rules for the digital assets sector after last year’s several prominent collapses, viz. FTX and Terra wiped out tens of billions of dollars from the market.

“Digital assets face a historic moment,” stated the report as it mentions the crackdown by the US Securities and Exchange Commission (SEC) on the crypto sector. “The SEC’s legal argument against the industry and court rulings could set a precedent for the industry’s entire future in the United States-perhaps quashing potential market catalysts,” said the report; adding already enforcement actions in the country are proving to be detrimental to key industry figures while many firms are forced to move overseas.

In contrast, the European Union (EU) has created tailored legislation for the sector with the landmark Markets in Crypto Assets (MICA) regulation formally signed into law. 

In addition to the EU, Polymex noted in its report that major contenders are South Korea, Singapore, and Hong Kong, which are embracing the digital shift, and the industry can emerge the strongest. Each of these three jurisdictions, which are in Asia Pacific (APAC), has adopted new regulations around digital assets in comparison to their global peers.

The report found that Hong Kong has emerged as a true “crypto-friendly” player in the APAC region. Unlike mainland China’s ban on crypto, the Special Administrative Region is legalizing retail participation in crypto and security tokens through one of the most exacting regulatory frameworks for the industry yet. 

The framework offers credibility, clarity, and rules for guiding innovation though there are challenges regarding licensing requirements. While it’s to be seen just how the industry evolves here, it surely is “an exciting moment as success in Hong Kong could be the gateway to markets in mainland China,” it said. 

The report added that the legalization of the sector could also solve pressing problems in the region’s outsized property market, as security tokens can transform capital raising within the real-estate sector.

Meanwhile, as one of the most technology-friendly countries, South Korea is living up to its reputation by embracing blockchain and having a clear interest in tokenization. The nation has clear intent to grow its Web3 economy, as evident in its plans to formalize crypto products and legalize security tokens. But even more interesting is the heavy interest in tokenizing “K-culture,” which seems “inevitable.” 

Still, South Korea has taken the approach of watching as it recognizes the need for a cooperative regulatory climate that properly addresses the intrinsic nature of digital assets. And the regulators are willing to wait for any more comprehensive multi-country cooperation but stressed that they won’t blindly wait for the development of global standards and will instead prioritize user protection through minimum necessary regulations.

Singapore, on the other hand, is taking a conservative approach to the crypto industry with its strict regulatory regime. A key focus here is on harnessing the value of institutional-grade DeFi protocols, smart contracts, and open, interoperable networks for transactions and settlement. 

While Singapore disapproves of retail participation, digital asset development isn’t slowing. The country is promoting collaboration, not competition, with Switzerland as well as the wider fintech industry. It has also formed an alliance with the UK regarding a structured engagement for cooperation to develop a regulatory framework for the industry. 

As regulation reaches a critical juncture, regulators are found to be not in agreement. However, they do share an interest in blockchain for asset tokenization, payment, and settlement. As each state bustles with activities around security tokens both locally and globally, with state involvement in the development of security token technology and cross-border transactions, we could see the funds pouring into this category next, noted Polymesh.

“It’s an exciting historical moment as regulators introduce digital assets legislation, but its implementation and enforcement won’t be without challenges. In particular, it will be interesting to watch how national regulators handle the challenge of legislating an inherently cross-border industry,” stated the report. “There’s a real, pressing need for harmonization to foster a robust, interconnected industry,” it added.