Many developers are continuing the trend of layer two blockchains, with innovations created every day. 

The trend continues to grow specifically in the Ethereum Ecosystem, where all of these blockchains compete to be the number one helper for Ethereum. 

One of the new contenders in this competition is Metis, which is a new layer-two blockchain specifically designed to help Ethereum 

What is Metis? 

Metis is a layer two blockchain designed by the Metis Foundation to help create a more scalable alternative to other existing layer two blockchains in the Ethereum Ecosystem. 

Metis’s Site Home Page / Source: Metis Official Site

It is a modular blockchain that leverages the rollup mechanism to bring a better transaction experience for Ethereum users.

Metis exists as a helper for Ethereum as well as its ecosystem, but the twist is that its ecosystem is still attached to Ethereum in its infrastructure. 

Considering that this blockchain has a modular infrastructure, it has many layers to accommodate every communication with Ethereum. 

Its blockchain layer functions as a consensus layer and it treats Ethereum as a data availability layer and an execution layer. 

When using a roll-up mechanism, the consensus mechanism of the blockchain will mimic the same mechanism as the main blockchain connected to it.

This is why Metis uses the Proof of Stake mechanism similar to what Ethereum uses. The consensus mechanism combined with the roll-up mechanism, produced a low transaction fee and a high transaction speed. 

Metis currently only needs two seconds to execute a transaction on the Ethereum blockchain as well as on its ecosystem.

The cost to process these transactions is only $0.02 per transaction, which is relatively lower than most layer two blockchains in the Ethereum Ecosystem. 

Metis Blockchain’s Ecosystem 

This capability has attracted many developers to build on the blockchain, where it currently has more than 100 decentralized applications on top of it. 

Metis is actively inviting developers to build on its blockchain through its ecosystem fund, where it sets aside 250,000 $METIS, the native coin on the blockchain, to fund developments. 

Metis’s Grant Information / Source: Metis Official Site

The funds equate to a little under $22.5 Million which is a lot of money considering that the project is still new. 

Metis got all these funds after they received funding from multiple venture capitals including Genblock Capital, Oasis Capital, and Lotus Capital. 

Some of the backers of Metis are not a crypto venture capital company, which means that the project might have some potential to be adopted into the outside sectors of crypto. 

Overall there are already over 36,000 $METIS being used to fund projects, but there are still more than 200,000 $METIS to be spent, which is why developers and project owners are open to interacting with the blockchain team. 

Token Economics of $METIS

$METIS itself is currently doing well, where it is now ranked 10th compared to other layer two blockchain coins in the crypto space, in terms of market capitalization. 

Layer Two Blockchain Rankings / Source: Coingecko

The coin is currently being used as a governance token on its DAO platform as well as for utility purposes such as paying gas fees and transacting on the Blockchain. 

There are more utilities to come including liquid staking through $vMETIS, which is a new liquid staking token that was created for holders of $METIS to have more rewards passively by locking their coin. 

The overall supply of $METIS is only 10 Million, and almost half of it has already gone to the public. 

Based on that fact, the token economics of $METIS can be considered quite safe as the potential of it being rugged or pumped and dumped by the team is kept to a minimum. 

Conclusion 

Overall Metis can be one of the most used blockchains for developers because of its scalability aspect, as well as the ecosystem funds that it has. 

It will be interesting to see how this project develops, however, it has many challenges in the future, especially in terms of marketing and overcoming its competitors, which are a lot. 

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