Acquisition Of Hermez By Polygon – Merger Of Two Blockchain Networks

Blockchain is the trending technology which is used by cryptocurrencies and that is legal technical process, which involves digital ledger of transactions made with trading with Cryptocurrencies. This technology is a safer way for holding investments with Crypto as it keeps a hold of the transactions done while trading with Crypto.
Here we are going to clear about the first merger of blockchain technology as the startup of Indian Crypto was with Polygon technology and Polygon is now in a mood to acquire Hermez; which is zero knowledge (ZK) cryptography based scaling project. This the company is going to acquire with a deal of $250 million, which it is going to pay in MATIC tokens.
For the first time two blockchain networks are going to merge, wherein Hermez Project: The technology, team, live solutions and HEZ token as well would be integrated into the Polygon ecosystem. After the merger they would be named as ‘ Polygon Hermez’ and would thereby become part of growing Polygon which is already involved in providing solutions regarding Polygon SDK, Polygon PoS, Polygon Avail, etc. as per to the declaration by the company.

Effects Of Merger

According to Polygon, this merger would be its first merger in ZK scaling field after the announcement of ZK based solution for moving forward.
Another effect of such a merger would be that HEZ token holders would be able to swap their tokens with respect to Polygon’s native token ( MATIC) with the aid of swapping the contract to be published soon by the company and the ratio of swapping would be 3.5 MATIC into 1 HEZ. It’s calculation is based on the prices at 11AM CET as on 4th August, 2021.
Expected effect of merger would be MATIC undertaking the role of HEZ as token for Polygon Hermez .

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