Immutable X is a scaling solution for Ethereum, specifically targeting scaling for NFTs and Web3 gaming. It allows developers to create, trade, and manage NFTs efficiently, offering zero gas fees and instant transactions.
Who created Immutable X?
Immutable X was launched in March 2021 in Australia by its founders: James Ferguson, Robbie Ferguson, and Alex Connolly. The Ferguson brothers, creators of the blockchain-based card game Gods Unchained in 2018, observed the game’s impact on Ethereum and recognised the need for an improved gaming experience on the blockchain. This led them to partnering up with StarkWare Industries, utilising StarkEx to develop Immutable X.
Immutable X received significant funding through several investment rounds, starting with a Series A in 2019, spearheaded by Naspers Ventures and Galaxy Digital. The Series B round in September 2021 raised $60 million, with contributions from Bitkraft Ventures and King River Capital. In March 2022, the company secured additional investment from Chinese tech giant, Tencent, resulting in a valuation of $3.5 billion and establishing Immutable X as one of the most valuable private tech companies in Australia at that time.
How does Immutable X work?
Immutable X operates as a Layer-2 scaling solution on Ethereum. It leverages zero-knowledge rollups (zk-rollups) to batch transactions and take them off the main Ethereum chain as one single transaction for processing, so it can achieve high scalability and low transaction costs while maintaining the security and decentralisation of Ethereum. By processing transactions off-chain and bundling them into a single batch, zk-rollups significantly reduce the data load on the Ethereum mainnet.
This approach allows Immutable X to offer transaction speeds of up to 9,000 transactions per second, near-instant transaction confirmations and minimal fees, all while ensuring that the integrity and security of the Ethereum network are preserved. The zk-rollup technology validates these transactions through cryptographic proofs, which are then submitted to the Ethereum blockchain, ensuring that the platform remains both scalable and secure.
What is the native cryptocurrency of Immutable X?
The native cryptocurrency of Immutable X is IMX. It serves multiple purposes: enabling governance by allowing holders to vote on platform decisions, supporting staking to secure the network and earn rewards, and covering transaction fees for activities such as NFT trading. IMX plays a crucial role in the ecosystem, ensuring efficient operations and user participation.
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This information is not intended to be nor does it constitute financial, tax, legal, investment or other advice; nor is it a call to trade. The information is intended as general market commentary for information purposes only. Before making any decision or taking any action regarding your finances, you should consult a qualified Financial Advisor.