One of the largest telecommunications companies in Europe uses its infrastructure to explore new revenue streams and boost network security as a validator of blockchain protocols.
German company Deutsche Telekom will become a validator of Ethereum’s Layer 2 scaling platform, Polygon, becoming one of 100 validators providing staking and validation services for Polygon’s Supernets network and solution.
Polygon is an important layer 2 in the Ethereum ecosystem, offering developers a number of scaling solutions.including zero-knowledge rollups, sidechains, and data availability protocols.
Deutsche Telekom MMS, which provides software development and consulting services, will operate as Polygon’s validator for its parent company. This is expected to ensure the security of the Polygon proof-of-stake sidechain and the Supernets chain, improving the security, governance and decentralization of the protocols.
The company will manage a full node, produce blocks, validate and participate in network consensus, and send checkpoints to the Ethereum mainnet.
Dirk Röde, head of Deutsche Telekom’s Center for Blockchain Solutions, told Cointelegraph that supporting the Polygon network as a validator is a big milestone in their goal to be a major player in Web3 infrastructure:
“Deutsche Telekom is not only a well-known infrastructure provider for Internet and mobile services, but is also making significant commitments to expand its presence and reliability as an infrastructure provider in the field of Web3.”
Deutsche Telekom is also a validator for Q, Flow, Celo, Chainlink, and Ethereum, and Röde said that the company aspires to serve institutional clients as a reliable provider of enterprise-grade staking.
Röde added that Leveraging the company’s infrastructure as a validator while monetizing the underlying blockchain’s native token provides Deutsche Telekom with a “reliable, novel and scalable revenue stream.”
The possibility of more mainstream telcos entering Web3 could also catalyze further decentralization of various proof-of-stake blockchains. operated by validators:
“Other telecommunications companies are also exploring opportunities in this area. In a decentralized ecosystem, the goal should be to have a diverse and trusted set of validators.”
A statement from Polygon Labs CEO Michael Blank reiterated this point, outlining his belief that the partnership could pave the way for more mainstream companies to embrace blockchain technology.
Polygon recently announced a multi-year partnership with Google Cloud to drive development of the zero-knowledge proof scaling solution and Ethereum Virtual Machine of the Ethereum scaling protocol.
Clarification: The information and/or opinions expressed in this article do not necessarily represent the views or editorial line of Cointelegraph. The information presented here should not be taken as financial advice or investment recommendation. All investment and commercial movement involve risks and it is the responsibility of each person to do their due research before making an investment decision.
Keep reading:
Investments in crypto assets are not regulated. They may not be suitable for retail investors and the entire amount invested may be lost. The services or products offered are not directed or accessible to investors in Spain.
