Thread by @0xPolygon

1/14 It is a big day for @0xPolygon!

We are announcing a strategic focus on ZK-based scaling solutions and $1B in funding for this effort.

As our first big foray into the exciting world of ZK, we are excited to announce the merger/acquisition of @hermez_network! 🔥

Thread.. 🧵

2/14 Six months ago, when we announced Polygon, there was a pressing need to scale Ethereum and our PoS chain turned out to be the best immediate solution/relief.

Now both Polygon and Ethereum are in a better place, so we believe it is the right time to focus more on innovation.

3/14 We have been actively experimenting with all major scaling technologies since 2017.

Based on what we have learned, we believe that ZK crypto is our best bet to build the solutions we all want and deserve.

Please read our ZK Thesis for more detail.

blog.polygon.technology/the-polygon-th…

4/14 As mentioned above, we are committing $1B from our treasury to fund this effort. The funds will be used for:

➡️ Acquiring world-class ZK projects and teams;
➡️ Building ZK based solutions;
➡️ Hiring premium talent;
➡️ Adoption of ZK solutions;
➡️ Research funding etc.

5/14 Now back to Hermez. 😊

Starting today, we will initiate the process of merging Hermez into the Polygon ecosystem, where it will be operating under the new name: Polygon Hermez, along with other Polygon solutions such as Polygon PoS, Polygon SDK, Polygon Avail, etc.

6/14 The maximum amount that will be committed for this merger from the Polygon treasury is 250M $MATIC tokens, or roughly $250M based on the price at the time of reaching the agreement (August 4, 2021).

7/14 We are very excited about this merger, for several important reasons:

🔘 Hermez is live.

The Hermez team shares our passion for shipping and their rollup is already live on the Ethereum mainnet.

8/14

🔘 Hermez is a great team.

Hermez is a team of 26 great people with various expertise. The team is spearheaded by the legendary @jbaylina, one of the most prominent Ethereum researchers and contributors.

9/14

🔘 Hermez is building an EVM-compatible solution.

We at Polygon are very aware of the importance of EVM-compatibility, and the fact that Hermez already has a roadmap and is actively working on introducing it was another big signal for us that joining forces makes sense.

10/14

🔘 Hermez is the only decentralized rollup.

Rollups are promising solutions, but they're still in early development, normally with critical components like operators fully centralized. Hermez didn't want to compromise here; their rollup is already decentralized by design.

11/14

🔘 This merger will be the first full-blown merger of one blockchain network into another.

This is, to the best of our knowledge, the first example of one blockchain network completely absorbing another, including its technology, team, token, etc.

12/14 We believe that combining Polygon’s experience, adoption, and treasury with Hermez’s technology and knowledge will bring great results.

Please read the full announcement for more details on the merger:

blog.polygon.technology/hermez-network…

13/14 Lastly, this is in itself a big and important event, but it is just our first big foray and investment in the ZK field.

We will continue investing, growing our team and expanding our suite of solutions, with the goal of becoming the leading force in the ZK field.

14/14 We thank the whole Polygon and Ethereum community for all the support so far and we invite you to stay with us moving forward; this journey is about to get even more exciting.

Let's bring the world to Ethereum! 🦄💫

The Polygon Team