We're entering an era of practicality in terms of both the cryptocurrencies themselves as well as their usage; therefore, the importance of the infrastructure built around the cryptocurrencies will be weighed by longer timescales than just hype cycles. Stablecoins, digital payments, and on-chain liquidity are moving quickly toward their place as elements of the global economic system, rather than just ideas being tested. To facilitate the full-scale implementation of these tools across the globe will require the creation of networks that have speed, stability, and efficiency as their foundation. Currently, @Plasma has begun to establish itself as a platform creating the infrastructure to propel stablecoin ecosystems and deliver scalable digital payments.
One of the most significant challenges for current blockchain networks is to process thousands (or millions) of transactions while keeping transaction fees low and processing speeds high. Due to transaction volume spikes, many platforms become very costly to use, ineffective at processing transactions quickly, and incapable of providing financial services used in our daily lives. The best example of this new focus on building an ecosystem geared toward rapid, low-cost transfers of value (especially for stablecoins and day-to-day payment transactions) inside of a decentralized network seems to be the new Plasma project. The Plasma team, unlike other projects that seek to address every potential "function" of a blockchain, appears committed to developing one specific area: to build a reliable, scalable infrastructure to enable digital finance to grow.
Another reason why @undefined has gained attention is that they clearly value simplicity and end-user experience. For blockchain technology to achieve widespread use, using digital assets through a blockchain must, whenever possible, feel just as easy and familiar as sending money to someone through a typical mobile transaction application. Often, new users are turned away from wanting to use a blockchain because of how complex and difficult it can be to use them when they first learn about them.
The Plasma development team believes that prioritizing clean design and consistently high performance will help new users feel comfortable and make doing financial transactions on-chain easier than using traditional banking systems. By having this strong user experience focus, Plasma may help bridge the gap between conventional banking and the fast-growing decentralized technology ecosystem.
As the Plasma network develops, the role of $XPL in the network will be an important piece to follow. $XPL is a native token that serves as the infrastructure for coordinating activity, incentivizing participation in, and supporting operations of the Plasma platform. As developers build more applications and liquidity grows, $XPL will have a key role within the overall infrastructure of the Plasma network. While the ultimate success of $XPL in the long term will depend on real-life usage and adoption, the groundwork being built now will shape how these and other similar types of financial applications will work on-chain in the future.
What really makes Plasma unique is its emphasis on solving real-world problems versus simply following the latest fads. The demand for reliable stablecoin infrastructure is growing exponentially, as there are more and more businesses and individuals looking for ways to move currency quickly and efficiently across international borders. Any network that can provide a dependable solution for these users will become a major component of the digital economy. Plasma's emphasis on scalability and its ability to offer specialized solutions will help position it as one of the main foundation blocks for the next generation of decentralized finance. #Plasma
