Immutable X is the first layer 2 protocol in Ethereum

What Is Immutable X (IMX)?

Immutable X positions itself as the first layer-two scaling solution for NFTs on Ethereum. According to Immutable X, its blockchain does away with Ethereum’s limitations like low scalability, a poor user experience, illiquidity, and a slow developer experience. Instead, users benefit from instant trading and massive scalability while enjoying zero gas fees for minting and trading NFTs without compromising user or asset security. To achieve that, Immutable X is built with STARK zk-rollups, a technology that Vitalik Buterin considers Ethereum to be “all-in on.”

Thanks to this technology, users will be able to create and distribute assets like ERC-20 and ERC-721 tokens on a massive scale. Chris Clay, the game Director of Gods Unchained, a project already building on Immutable X, stated that Immutable X allows Gods Unchained to implement a new meta-system that was previously impossible. In this fashion, Immutable X aims to create a world-class experience for users and developers alike.

How Does It Work?

At the core of Immutable X is a scaling technology called Zero-Knowledge Rollup (ZK-Rollup), which is a layer-2 protocol for validating transactions on the Ethereum blockchain.
Instead of adding every transaction data to the blockchain, ZK-Rollup batches hundreds of transactions into a single zero-knowledge proof known as the zk-STARK proof. Zk-STARK stands for zero-knowledge succinct transparent arguments of knowledge. It’s a verification method used to prove possession of certain knowledge without revealing any information about it. It can provide Immutable X transactions with increased levels of privacy and security. 
After batching the transactions, the proof is submitted to the blockchain and verified by a smart contract. The ZK-Rollup smart contract maintains all transaction details on layer 2, so that the proof can be quickly verified as they don’t contain the complete data of every transaction. The computing and storage resources required for validating a block will be lower too. This is how Immutable X can facilitate up to 9,000 transactions per second (TPS) with significantly reduced gas fees. For the end-users, Immutable X transactions have zero gas fees.

NFTs users trade or mint on Immutable X are 100% carbon-neutral. For example, minting 8 million NFT trading cards for the play-to-earn game Gods Unchained would consume approximately 490 million kWh (490 MWh) on Ethereum. With ZK-Rollup compressing the data required for minting, Immutable X only used 1,030 kWh to mint the same amount of NFTs, which is 475,000 times less energy consumption. The minuscule energy consumption remaining is offset with carbon credits.

Another unique feature of Immutable X is a set of powerful REST APIs that can simplify complex blockchain interactions. Users can create and transfer NFTs easily via API calls without having to interact directly with smart contracts. Combined with Immutable X’s simple software development kits (SDKs), developers can integrate the APIs and Wallet to their platforms easily. This will allow them to build NFT projects, such as play-to-earn games, in just a few hours rather than weeks. 

To facilitate a third-party NFT marketplace ecosystem, Immutable X provides a global order book that allows NFTs to be bought and sold on any marketplace that implements their scaling solutions. This means that orders created in one marketplace can be filled in another, effectively increasing the trading volume and liquidity of NFTs. Immutable X also supports all desktop Ethereum wallets. Users can seamlessly trade NFTs on different NFT-enabled crypto wallets without moving their assets across networks.

Immutable X Use-Case

The main application of Immutable X is bringing accessibility and scalability to Ethereum NFT marketplaces, while also maintaining its decentralization and security. Users of Immutable X will be able to have fast, gas-free, peer-to-peer transactions. This also means users will be able to mint their own NFT tokens without gas fees.

With these features, Immutable X is the first NFT exchange to offer gas-free minting and trading. The Layer 2 solution can scale up to 9.000 transactions per second, which will make the project vital for the NFT marketplaces. Immutable X will operate within the rapidly growing segments of Gaming, DeFi Collectibles, and Marketplaces. NFTs will be its core element.

Gods Unchained, the project of which the idea for Immutable X originated, is the first to onboard its technology. Gods Unchained is a blockchain game based upon NFT trading cards. As the project is owned by the same company, Immutable, it allows for seamless integration in the first trial phases of the project. The project has now successfully adopted the technology. Since moving to Immutable X’s marketplace, transfers of NFTs are now secure, fast, and cheap, improving the user experience. 

The Immutable X Ecosystem

The ecosystem of Immutable X is rapidly expanding as its solution is becoming available for adoption. Due to its solution for affordable NFT trading, its partners are mainly active in the segments of Collectibles, Gaming, Marketplaces, and DeFi. One of Immutable X’s partners is OpenSea. With a current valuation of close to 10 Billion US Dollars, it is the largest NFT marketplace. OpenSea is a peer-to-peer marketplace where people can offer and trade their NFTs.

Immutable X ecosystem partners

Another organization that joined the Ecosystem is Guild of Guardians, a highly anticipated blockchain-based game. Guild of Guardians is a multiplayer role-playing game built on Ethereum in which its players can earn via playing the game and trading NFTs. Through their scaling solution, Immutable X can offer Guild of Guardians a solution to bring down the costs of trading for its users. Due to its application, many NFT projects can benefit from Immutable’s solution. Further growth of its ecosystem can be expected.

Play To Earn

Play to Earn is an incentivized offering by Immutable X to reward loyal users and promoters of the platform. Eligible participants are the early birds on the platform who have been phenomenal in pushing Immutable X to new heights, including those who are active holders of the Gods Unchained NFT.

They could earn up to 600,000 worth of the IMX token. The Play-to-Earn element has two segments in which you could participate and earn rewards in all. The first segment is open to early birds and holders of the Gods Unchained NFT in their Immutable X wallet before a set period.

However, the players must complete all the 3 tasks to win a 100,000 IMX token prize that Immutable X will share among all the participants. The 3 tasks are :

  • The player must have played the Gods Unchained game at least once before the Alpha Reward period ends.
  • Must link your wallet to your Gods Unchained account as well as your Immutable X account before the Alpha Reward period is over.
  • Must hold at least 1 Gods Unchained NFT before July 22, 2021.

The second segment is called the Alpha Rewards and is open to all participants provided you complete the 3 tasks set by the platform.

The reward is a 400,000 IMX token prize which the platform will also distribute equally among participants. The 3 tasks include:

  • The player must play the Gods Unchained game at least once.
  • Connect your wallet to your Immutable X platform.
  • Hold at least 1 Gods Unchained token in your Immutable X wallet.

Stay updated to know when the platform announces the snapshot for the prize to avoid missing out on rewards as a loyal user.

How Many Immutable X (IMX) Coins Are There In Circulation?

IMX is the protocol’s native ERC-20 utility token. The token’s three core use cases are fees, staking and governance. 20% of the protocol’s fees must be paid in IMX, and users can stake IMX to receive a proportional share of the network’s fees. Token holders can also vote on governance proposals by holding IMX. The total supply of IMX is two billion, according to the following token distribution:

  • Ecosystem development – 51.74%: user rewards, developer grants, liquidity provision, marketing purposes.
  • Project development – 25%
  • Private sale – 14.26%: one year cliff, monthly unlock over two years.
  • Public sale – 5%: six-months unlock.
  • Foundation – 4%: ecosystem development-related initiatives like liquidity provision, one-year cliff, monthly unlock over four years.

How Is The Immutable X Network Secured?

Immutable X is a layer-two blockchain with zero gas fees, where operators can set their own trading fees. In contrast to other scaling solutions to Ethereum, a 51% attack on Immutable X is unfeasible, as it is not a centralized side chain but benefits from inheriting the native security of the Ethereum blockchain. Immutable X uses zk-rollups, meaning assets are traded on the second-layer blockchain, but the validity proof of a transaction is stored on the layer-one blockchain, in this case Ethereum. Immutable X uses STARK proofs because, unlike SNARKs, they are post-quantum-secure and provide greater user security despite the greater cost.

Immutable X chose to stay on Ethereum as a first-layer solution because the team considers Ethereum best to represent the philosophy of trustless, decentralized asset ownership. In the team’s words, Ethereum has always prioritized centralization over short-term scalability upgrades, even though it has suffered from problematic gas fee spikes and network congestion, thus still remaining the main blockchain for NFT projects to build on.

What Problems Does Immutable X (IMX) Attempt To Fix?

There are a couple of key pain points that Immutable seeks to alleviate in the market. For one, the platform was set up to help reduce investor onboarding and confusion. As such, the protocol features an easy-to-navigate interface that enables anyone to take advantage of its services.

Developer Restrictions

Immutable also helps to combat developer restrictions. The network introduces a flexible structure that allows anyone to develop customized decentralized marketplaces, blockchain-based games, and much more. Notably, the system enables you to set key factors such as your trading fees. You can also mint NFTs with ease thanks to features like bulk minting.

Immutable provides a host of developer tools to simplify programming and Dapp creation. Notably, the network uses the same programming language as Ethereum, Solidity. Solidity is well-known amongst Dapp developers. the decision to utilize this language was smart because it enables developers to migrate their applications to immutable without any recoding.

The system also introduces an advanced API that enables third-party applications to leverage Immutable’s features. It also improves performance and flexibility for these Dapps. In this way, more developers can participate in the Immutable ecosystem.

Lack of Sustainability

Early cryptocurrencies like Bitcoin require huge amounts of energy to operate. Their network utilizes the Proof-of-Work (PoW) consensus mechanism which requires all network nodes to complete energy-heavy computations. Immutable provides a more sustainable alternative to these networks.

The protocol has made a commitment to help create a green decentralized ecosystem. Specifically, the developers have pledged to offset any carbon footprint with certified climate-conscious partners, Trace and Cool Effect. The final goal of the project is to become the first 100% carbon neutral NFT chain.

Benefits Of Immutable X (IMX)

There are multiple benefits that Immutable X introduces to the market. For one, the protocol improves security. It’s an open-source project that has been vetted by the Ethereum community. The structure of the network makes it well-suited for use by new users seeking to issue NFTs. Best of all, there are zero gas fees for minting or launching a play-to-earn ecosystem.

Immutable X (IMX) - Twitter

Immutable X (IMX) – Twitter

Scalability

When it comes to gaming, a network needs to be high-performance and responsive. Immutable introduces a new level of scalability to the play-to-earn sector. The protocol can handle up to 9,000 transactions per second. Additionally, the network support near-instant trades for games, applications, marketplaces.

Non-Custodial

Another major benefit of Immutable is its non-custodial layout. Non-custodial protocols are more secure than custodial networks because users never have to relinquish ownership of their assets. If a non-custodial exchange gets hacked, users’ funds are safely stored in their wallets. As such, DEXs very rarely have any hacks. Additionally, you can easily verify your withdrawals anonymously using the network’s zero-knowledge proofs.

Low Fees

Immutable is ideal for NFT gaming due to its low fee structure. There are zero gas fees for minting NFTs on this network. There is a small fee on sales and NFT trades. Specifically, Immutable X takes 2% and re-circulates the fees throughout the network. According to company documentation, 2% of these fees get traded into IMX and deposited into the staking reward pool.

Developer tools

Those seeking to build on Immutable will find everything they need is easily available via the developer tools. The network provides a plethora of resources and you can even get advice from the community. The goal of this support is to entice new developers to create on the Immutable ecosystem to further improve the user experience.

Interoperability

Immutable X was built from the ground up to be interoperable with the entire Ethereum ecosystem. This designation means that Immutable users can trade their digital assets on popular DEXs like Uniswap and SushiSwap. Additionally, it makes it easier for users to find compatible wallets and Dapps.

How To Buy Immutable X (IMX)

Immutable X is available on the following exchanges: 

Bitstamp – Founded in 2011, Bitstamp is one of the oldest & most trusted exchanges in the world. They currently accept Canada, UK & USA residents excluding the states of Alabama, Hawaii, Idaho, Louisiana, Nevada, & New Jersey.

Binance – Best for Australia, Canada, Singapore, UK and most of the world. USA residents are prohibited from buying Immutable X.

KuCoin – This exchange currently offers cryptocurrency trading of over 300 other popular tokens.  It is often the first to offer buying opportunities for new tokens.  This exchange currently accepts International & United States residents.

Gate.io – This exchange was established in 2013, and is one of the more popular & reputable exchanges. Gate.io currently accepts most international jurisdictions including Australia & the UK.  Canada & USA Residents are prohibited.

Introducing IMX Token

Immutable X price history

Now, let’s take a look at the immutable x price history. While past performance is not an indicator of future results, knowing what has happened to IMX and how it has responded to market events can help give us some context when it comes to making and interpreting an immutable x price prediction.

IMX first hit the open market in November 2021 and, on 5 November, the coin hit a high of $6.84 before closing the day at $5.24. The coin then slipped down somewhat, trading at an intraday low of $3.05 on 8 November, then rising to a daily high of $7.13 on 12 November before falling to $6.01 two days later.

While, like many newly-traded cryptocurrencies, there was volatility, the quick changes in price benefited shrewder investors when the coin broke through the $8.00 mark on 16 November 2021. Things got even better on 26 November when immutable x hit a high of $9.50, which still serves as its all-time high. The crypto then fell back down to close the month at $8.16.

December 2021 was a weaker month for the cryptocurrency market, with fears surrounding the widespread Omicron variant of Covid-19. This wider market issue had an impact on IMX, as the coin slumped to a daily low of $4.12 on 21 December 2021. There was then some recovery, and the coin closed the year at $4.90.

It looked as if 2022 was going to be a good time for the crypto when it reached $5.06 on 2 January, but the good times were short-lived: the bears moved in and the coin went on a downward spiral, closing the month at $2.70.

If people were feeling optimistic about IMX in February, then an intraday high of $4.25 on 3 February 2022 gave them hope. The market, though, had other ideas, and the coin traded at less than $3 for much of the month before it fell below $2 by 20 February.

What looked like a bad time got even worse when Russia invaded Ukraine on 24 February 2022, and the coin fell down to an intraday low of $1.32. The price fell further to a new all-time low of $1.10, recorded on 7 March 2022. 

There had initially been some recovery since that price point. News that Immutable X was valued at $2.5bn circulated widely and new partnerships were announced towards the end of March. GameStop NFT Marketplace announced its support of Loopring x Immutable X; and later Venly, a blockchain tech provider, confirmed its partnership with Immutable X on 28 March. 

On 31 March 2022 the coin was trading at highs of $2.82, but the positive immutable x price movement could also be attributed to macro headwinds hinting at an end to the long-running bear market. The signs of a market recovery were fleeting, however, and by 25 April, the coin was trading at $1.67.

There are currently 235.284 million IMX in circulation, out of a total supply of two billion. This gave the token a market cap of approximately $400m, making it the 141st largest crypto by that metric. 

IMX Price Forecast

PricePrediction.net suggests that the coin will reach a maximum of $2.77 in 2022, before moving up to an average of $3.57 next year. This will be the start of a bull run that sees IMX hit $5.03 in 2024, $7.17 in 2025 and $10.22 in 2026. The site forecasts a general year-on-year uptrend, making an immutable x price prediction for 2030 of $43.81 before suggesting a price of $64.27 in 2031.

UpToBrain is also extremely bullish in its immutable x coin price prediction, suggesting it can reach $3.54 in 2022 before reaching $4.04 in 2023 and $4.73 in 2024. The same site says IMX should get to $5.41 in 2025 before it gets to $6.04 the following year. 

DigitalCoinPrice has an immutable x price prediction for 2022 suggests an upswing of almost 40% over the course of May, potentially reaching $2.28. However, some volatility is expected and the site forecasts a dip in August, when it suggests the coin might be worth $2.21. The site also forecasts an average of $2.55 in 2023 and $2.51 in 2024.

The site makes an immutable x price prediction for 2025 which says there should be a speedy recovery to $3.28 before it falls again to $3.16 in 2026. But the dark days should then be at an end for IMX and its enthusiasts, with the 2027 average of $3.83. The site forecasts the coin will be worth an average of $7.85 in 2030.

One final piece of sobering news to counteract the previous, more bullish forecasts: Gov.capital has made an IMX price prediction which states that it is entirely possible that, in a month, the dream will be over for immutable x fans. The site thinks that, towards the end of May 2022, the coin will have zero value, meaning it will, in effect, be a dead coin. 

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