About Polymesh
Polymesh is a public permissioned blockchain that is purpose-built for real-world assets (RWA). It is optimized for issuing and distributing asset tokens, with regulatory compliance and identity verification capabilities in place.
Polymesh uses the nominated proof-of-stake (NPoS) model, in which the network is delegated and blocks are validated by multiple node operators. This method effectively ensures increased safety and decreased risk. Polymesh also provides the technical infrastructure to enable compliance, while Polymesh Labs offers governance support focused on development, marketing, and ecosystem growth.
What is POLYX?
POLYX is the native token of Polymesh, designed to keep the network secure and running. It has five main uses:
- Paying fees – All transactions and certain functions use POLYX.
- Staking – Holders can stake POLYX with regulated node operators to secure the network and earn rewards.
- Governance – Holders can signal support for proposals and upgrades.
- Block rewards & fines – Node operators and their nominators earn POLYX for good performance, but node operators may be fined for misbehavior.
- Grants – POLYX can be distributed to support ecosystem growth.
Together, these functions make POLYX essential for using Polymesh, rewarding proper behavior, and guiding the network’s future.
What is Nominated Proof of Stake (NPoS)?
Polymesh uses a system called Nominated Proof-of-Stake (NPoS) to keep the network secure and fair.
- Node Operators (Validators): Regulated entities that run the network by processing transactions and creating new blocks.
- Nominators: Regular POLYX holders who don’t run operator nodes themselves but can support permissioned Node Operators by “staking” their POLYX with them.
Here’s how it works:
- Nominators choose Node Operators and stake POLYX behind them.
- If the Node Operator performs, both the Operator and their Nominators earn POLYX rewards.
- If the Operator misbehaves or fails, they can be fined, which helps discourage bad behavior.