Glycogen is the storage form of glucose found in liver and muscle cells. It is formed during glycogenesis when excess blood glucose is taken up into liver and muscle cells via insulin release. When blood glucose levels drop, this glycogen is converted into glucose and released back into the blood, in a process called glycogenolysis. This is part of normal homeostasis of blood glucose and follows a negative feedback mechanism. Glucose affects water potential and can be used in other reactions so the storage form of glucose must not react with anything else in the cell and must be easy to breakdown when glucose is needed. This explains the answer to the question, shown below: Glycogen is insolube and unreactive. This means that it cannot diffuse out of the cell and does not affect water potential. It is compact so you can fit a lot of glucose into a small space. It is also easy to convert to glucose