Key Takeaways:
- Operating as an Ethereum framework, Polygon boasts up to 65,000 transactions per second scalability.
- As a pioneer since 2015, Ethereum remains an expert in decentralized applications and smart contracts.
- Ethereum targets decentralized applications, while Polygon enhances scalability, offering investors distinct value propositions.
Introduction
The onset of the concept that Bitcoin introduced to the world led to the whole sector we now know as the crypto ecosystem. Soon after that, the first altcoin, Ethereum, came into the picture to tackle Bitcoin’s issues. Soon after, projects started to be built on the Ethereum blockchain, and the crypto world had crypto assets like Polygon, which surpassed Ethereum and garnered the name of ‘The Ethereum Killer’ for providing use cases very much similar to that of Ethereum, only better and faster.
In the following paragraphs, we are going to take a quick look at both tokens, understand how the Polygon 2.0 ecosystem is making a whole network for its usages, take a deep dive into their functionality, and how they stand different from one another, along with some more recent developments within their ecosystems.
What is Polygon (POL)?
The Polygon network, previously often referred to as the ‘Internet of Blockchain,’ has ventured into 15 different cryptos. However, its origins trace back to 2017 when it operated under the name MATIC. Established in October of that year by three Indians—Jaynti Kanani, Sandeep Nailwal, and Anurag Arjun—the Polygon network emerged in response to concerns about the limited scalability of Ethereum. Recognizing the potential hindrance this posed the founders aimed to address scalability issues and expand Ethereum’s possibilities.
Earlier this year, the Polygon ecosystem announced a shift that they are going to introduce to the network via POL. The POL token (Polygon Ecosystem Token) is crafted for a gradual four-year transition to replace the existing POL token, forming an integral aspect of Polygon 2.0.
In this evolution, Polygon transforms into a Polygon zkEVM validium, featuring its network of interoperable blockchains tailored for specific applications. POL introduces enhanced utility, such as restaking, enabling validators to secure additional chains within the Polygon supernet by restaking their POL tokens, thereby earning extra rewards.
Key Features of Polygon
- In line with the Polygon 2.0 specifications, Polygon is undergoing a transformation of its products to incorporate zero-knowledge technology, evolving into a comprehensive scaling solution for the Ethereum blockchain.
- This transformation involves reconfiguring the Polygon Proof-of-Stake (PoS) chain into a ZK validium Layer 2 network for the Ethereum blockchain.
- A supernet architecture is also being constructed to fuel a hub of ZK Layer 2 networks, all functioning within a cohesive ecosystem featuring an efficient interoperability design.
- As part of this upgrade, the POL token is set to transition into the POL token. The POL token will offer significantly enhanced utility, mirroring the expanded ecosystem, and will introduce new features such as restaking.
Additional Read: Bitcoin vs Polygon
Latest Polygon (MATIC) News:
Polygon has partnered with India’s largest telecom provider, Reliance Jio, to integrate blockchain and Web3 capabilities into its services, potentially reaching 450 million users. The collaboration aims to simplify Web3 interactions for Jio customers while expanding blockchain adoption in India. While specific details of the initiative remain undisclosed, Polygon executives emphasize that the partnership could drive large-scale adoption. Following the announcement, Polygon’s native token, POL, saw a 5% price surge, reflecting strong market optimism.
Ethereum(ETH) vs Polygon(POL): Comparative Analysis
| Comparison Basis | Ethereum (ETH) | Polygon (MATIC) |
| Launch date | 2015 | 2023 |
| Founders | Vitalik Buterin and Gavin Wood | Jaynti Kanani, Sandeep Nailwal, and Anurag Arjun |
| Blockchain protocol | Ethereum Blockchain | Polygon Chain working for Ethereum Mainnet |
| Token type | Native | Native |
| Market Cap* | $331.03 Billion
|
$626.00 Million |
| Circulating Supply** | 120.56 Million ETH | 1.91 Billion POL |
| Consensus method | Proof of Stake (PoS) | Proof of Stake (PoS) |
MarketCap* and Circulation Supply** as of February 2025. Data sourced from CoinMarketCap.
What is Ethereum?
Ethereum is a decentralized blockchain platform designed to enable the development and execution of smart contracts and decentralized applications (DApps). Introduced by Vitalik Buterin in 2015, Ethereum distinguishes itself by its ability to support programmable, self-executing contracts, allowing developers to create a diverse array of decentralized applications on its blockchain.
The primary objective of Ethereum is to establish an alternative protocol dedicated to the development of decentralized applications, presenting a distinct set of tradeoffs that prove highly beneficial for a broad spectrum of such applications. It places particular emphasis on scenarios where security for smaller and infrequently utilized applications, swift development timelines, and the seamless interaction of various applications are crucial.
Ethereum’s native crypto, Ether (ETH), facilitates transactions and serves as an incentive for network participants. With features such as the Ethereum Virtual Machine (EVM) and ongoing upgrades to enhance scalability and efficiency, Ethereum plays a pivotal role in fostering a decentralized and open-source ecosystem, empowering developers to build innovative and trustless applications.
Key Features of Ethereum
- Ethereum introduced smart contracts, self-executing contracts with the terms of the agreement directly written into code.
- Developers can build decentralized applications on the Ethereum blockchain, enabling trustless and censorship-resistant applications.
- Ethereum’s native crypto is used for transactions and as a reward for miners who secure the network.
- A Turing-complete virtual machine that executes smart contracts, making Ethereum versatile for various applications.
- Ethereum supports the creation of DAOs, organizations run by code rather than people, with decisions made through consensus.
Latest Ethereum (ETH) News:
Ethereum is gaining momentum, with analysts predicting a potential surge to $15,000 in this cycle. Key technical indicators, including a head and shoulders pattern and symmetrical triangle breakout, suggest ETH could first hit $7,000 before moving higher. The upcoming Pectra upgrade, set for full activation on April 8, is expected to improve Ethereum’s institutional appeal. With strong bullish sentiment and aligning historical price patterns, ETH’s next few months could be crucial for reaching new highs.
Ethereum (ETH) vs Polygon(POL): Key Differences
| Feature | Ethereum (ETH) | Polygon (POL) |
| Blockchain Architecture | Ethereum operates on a proof-of-work (PoW) consensus algorithm. | Polygon uses a Proof of Stake (PoS) consensus algorithm. |
| Scalability | Limited scalability leads to higher transaction fees and slower confirmation times during network congestion. | Polygon is designed to enhance Ethereum’s scalability, providing faster and cheaper transactions. |
| Layer 2 Scaling Solution | Ethereum is exploring layer 2 solutions like Optimistic Rollups and zk-Rollups. | Polygon is a layer 2 scaling solution for Ethereum, offering various scaling technologies, including PoS and sidechains. |
| Native Token | ETH | MATIC |
| Use Cases | Mainly used for decentralized applications (DApps) and smart contracts. | Designed to enhance Ethereum’s capabilities, Polygon is also suitable for DApps, but with improved scalability and lower costs. |
| Security Model | Relies on PoW for security, which can be resource-intensive. | Utilizes PoS, offering a more energy-efficient and cost-effective security model. |
| Transaction Speed | Transaction confirmation times can vary and can be slower during network congestion. | Offers faster transaction speeds and lower fees due to its layer 2 scaling solutions. |
| Adoption and Ecosystem | Ethereum has a well-established and diverse ecosystem that is widespread in adoption. | While growing, Polygon’s ecosystem is not as extensive as Ethereum’s, but it benefits from interoperability with the Ethereum network. |
| Development Frameworks | Solidity is the primary programming language for Ethereum smart contracts. | Supports Solidity, making it compatible with Ethereum’s existing development tools and languages. |
Polygon (POL) and Ethereum (ETH) Technical Analysis
Source: TradingView
As of February 17, 2025, Ethereum (ETH) is trading at $2,746.44, reflecting a 1.48% increase from the previous close. Polygon (POL), formerly known as MATIC, is currently priced at $0.327, marking a 1.07% decrease from the previous close.
Analysts predict that Ethereum could surpass $5,000 in the near future, driven by growing demand and favorable supply dynamics. Polygon’s recent performance indicates a recovery since its mainnet launch, with its price rising from just under $0.5 to over $0.91, reflecting an approximate 86% rally.
Learn More: Litecoin vs Ethereum
Polygon Price Prediction 2025
Source: TradingView
As of February 17, 2025, Polygon (POL) is trading at $0.327, reflecting a 1.07% decrease from the previous close. Analysts predict that by the end of February 2025, Polygon’s price could reach approximately $0.437, representing a 34.29% increase from the current price. In the longer term, forecasts suggest that by the end of 2025, Polygon’s price may range between $0.37 and $0.56, with an average of around $0.47.
Note: The price prediction has been done based on the MATIC token, but it stays true for POL as the new token is set to phase out the MATIC tokens in the coming years.
Read More: Polygon Price Prediction
Ethereum Price Prediction 2025
Source: TradingView
Ethereum (ETH) is trading at $2,751.46 as of February 17, 2025, reflecting a 1.51% increase from the previous close. Analysts have varying predictions for Ethereum’s price trajectory in 2025. Some forecasts suggest a potential surge to $10,000, driven by increased institutional investment and the approval of spot Ether ETFs. Another analysis anticipates a more conservative range, with Ethereum’s price expected to reach between $3,300 and $5,050 by the end of 2025, averaging around $4,175.
Read On: Ethereum Price Prediction
Should You Buy POL or ETH?
Fundamentally, both the tokens, POL and ETH, have different ways of catering to the crypto world. While Ethereum is a layer 1 ecosystem that brought in the concept of dApps and Smart Contracts into crypto, Polygon built itself upon Ethereum and introduced better offerings than ETH with higher scalability and lower gas fees.
Since its inception, Ethereum has made some significant changes, starting with the Ethereum Merge, where the whole blockchain transitioned from its Proof of Work consensus mechanism to a much more energy-efficient Proof of Stake consensus mechanism. This move has brought Ethereum closer to its vision of becoming a more scalable and sustainable blockchain. In 2025, Ethereum’s ecosystem continues to expand with upcoming updates and network enhancements, further improving its utility. Ethereum’s recent performance has seen a 71.5% increase in 2025, with prices hovering around $2,750 in February, and analysts predict Ethereum could potentially surpass $5,000 in the near future.
Coming to Polygon, the crypto project has been partnering with various crypto projects to build a better ecosystem for the Web3 world we are walking towards. Even though the growth of Polygon has been slow, the new token of the network, POL, is set to transform the Polygon ecosystem for the better. The new ecosystem is bringing together all the features POL has built over the years. Undeniably, Polygon is still the best Layer 2 network on Ethereum and hosts some of the best technology present to make the Ethereum network run faster, better, and more efficiently. As of February 2025, Polygon’s POL token is trading at $0.33, with forecasts predicting further growth, especially as more decentralized applications (dApps) adopt Polygon’s technology.
While choosing between these crypt assets, it is imperative to do thorough research on them, along with making notes to see if they fit your trading strategies.
How to Invest in Ethereum and Polygon?
Investing in crypto is super simple, safe, and secure with the CoinDCX app. It doesn’t matter whether you want to buy Ethereum or wish to trade Polygon price today; we have got you covered.
Here are the 3 simple steps to buy your first POL or ETH with CoinDCX.
- Sign up on CoinDCX
- Complete your KYC
- Link your bank details and transfer funds
- Buy Polygon (POL) or Buy Ethereum (ETH)
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