What is the Immutable X protocol? Full introduction of IMX token
In the crypto world, Bitcoin is referred to as a store of value asset, but Ethereum, despite being the second largest cryptocurrency market, is mostly used as a platform for launching various crypto projects. Therefore, Ethereum blockchain despite thousands of projects and platforms Busy network Has become. One of the challenges that the Ethereum network faces is scalability and high gas costs. To solve this problem, different platforms called second layer solutions such as Optimism, Polygan And Immutable X protocol have been launched that try to improve the scalability of Ethereum by using various innovations. In this article, we will learn more about the Immutable X solution and examine its goals and how it works.
What is the Immutable X protocol?
Immutable X Network, originally known as Fuel Games, was a game studio in Australia. This studio later cooperated StarkWare He created a solution to lower the costs of the Ethereum network, which resulted in the creation of the Immutable X network.
An Immutable X protocol Layer two solution which solves the scalability problem of NFTs in Ethereum. This project allows users to create and manage their NFTs on a secure platform with very low transaction fees.
To learn more about non-fungible tokens, we suggest reading the article What is nft?
The IMX protocol can handle more than 9,000 transactions per second with the help of technology Zero-knowledge rollups to process This level of scalability is beyond the capabilities of typical NFT projects, making Immutable X a powerful platform in this field. According to the information of this project, so far about 50 million NFTs have been made on Immobile X platform. In addition to creating a two-layer Ethereum solution for NFTs, this platform promotes a carbon-free market. In other words, the platform ensures that there is no energy waste when creating and exchanging NFTs. The network achieves this through partnerships with well-known air quality monitoring companies (such as Trace and Cool Effect).
Features of the Immutable X protocol
Platforms that solve Ethereum’s scalability problems usually have unique features. In the following, we discuss the characteristics of this network:
Scalability and security
IMX platform in partnership StarkwareIt increases the security and scalability of the Ethereum network. The platform handles a batch of off-chain transactions by users volunteering for a quick transaction confirmation process. In fact, this process is carried out in a parallel network with Ethereum, and only transaction information is registered and confirmed in the main network. Therefore, with the help of IMX, the transaction cost is greatly reduced.
Creation of dedicated liquidity and order book
The Immutable X protocol provides a shared order book to improve liquidity, which is unlike how other scaling solutions work. Users can create orders in one market and complete it in another market. Therefore, the range of activities of traders of such assets will be very wide, which will be effective in determining the real price of assets. This process also facilitates the process of building NFT markets on Immutable X.
ImoTable Platform believes that the best way to improve the liquidity of NFTs is to create space for diversification. Therefore, by creating the necessary tools to trade NFTs in different markets, it has caused a significant increase in liquidity.
The possibility of issuing NFT
The Immutable X protocol allows users to create their own immutable tokens at zero cost. Also, this platform is a reliable tool for building and distributing NFT collections on a large scale. For this reason, large groups like RTFKT have distributed their NFTs with the help of this platform.
How does the Immutable X protocol work?
As mentioned, this platform uses zk-rollup technology to achieve scalability. This technology aggregates multiple transactions into one large batch. Then it creates a proof for that category. Instead of each transaction, this proof is deployed on the Ethereum mainnet. Zk-rollup is one of the most effective scaling technologies in Ethereum.
One of the main advantages of ZK-rollup is that blocks are validated faster because there is less data to validate. In addition, with ZK-rollup, the transfer of transactions from layer 2 to layer 1 is easily done, because the proof of credit created by the ZK-rollup smart contract in the same layer 2 verifies the transactions.
Introduction of IMX token
The IMX token is the exclusive digital currency of the Immutable X protocol, which was created on the Ethereum platform. This token is used for governance decisions, payment of protocol fees and staking. The IMX token will eventually reach 2 billion, of which about 793 million have been released and the rest will be released by 2026. The distribution of tokens is as follows:
- 51.74 percent for ecosystem development
- 25% for platform development
- 19.26 percent for the offering between private and public investors
- 4 percent for the project foundation
Due to the capabilities and efficiencies of the Immutable X protocol, many NFT and gaming projects have moved to this platform. In fact, the layer 2 solution provided by this platform and presence in the Ethereum blockchain has been the reason for the widespread acceptance of this network. One of the main partners of this platform is OpenSea, which has been able to make the NFT issuance process easy and affordable by using the innovations of the Immutable X network. In the field of gaming, this platform cooperates with Gods Unchained, Illium, Guild Gamee and other big projects.
So far, reputable collections have also presented their collections through this platform, which, for example, can be Tik Tok social network And The Walt Disney Company Cited. It should be noted that this project is investigating and developing a platform to connect to the Cosmas blockchain, which can bring collections and gaming projects of Cosmas into the Immutable X ecosystem.
Investors of the Immutable X protocol
Fund raising for this platform started in 2018, when $2.4 million was collected in the Seed stage. Coinbase can be mentioned among the prominent investors of this stage. In 2019, the second stage of fundraising of this project under the title of Series A brought 15 million dollars. In Series B, which took place in 2021, a capital amounting to 60 million dollars was attracted. Alameda can be mentioned among the investors present at this stage. Finally, in 2022, Immobil’s last fundraising round was done with 200 million dollars. In total, the Immutable X protocol has raised $277.4 million in four stages of private fundraising, which shows the importance of this platform.
IMX protocol is a solution to increase scalability
Immutable X protocol has been able to attract the attention of large collections and projects in this field despite the innovations and capabilities it has provided in the field of immutable tokens. Even the top blockchain games are trying to launch their own market on this platform to benefit from its features. In addition, since the beginning of this project, the attention of private investors has been drawn to it. This network has managed to attract many users to use its platform, to the point that in 2022, the amount of NFTs was multiplied by 600 million dollars on this platform. Therefore, due to the attraction of significant capital and the growing ecosystem of this network, we can hope for its future.
What is Immutable X Protocol? Full introduction of the IMX token for the first time on the Wallex blog. appeared.