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Layer 2 blockchain Polygon is set to migrate its MATIC token to POL as part of its upgrade to Polygon 2.0.
According to a x.com/0xPolygonFdn/status/1813846241433784733″ target=”_blank” rel=””>Post x of July 18 According to the Polygon Foundation, the upgrade will begin on September 4. Initially, POL will replace MATIC as the primary token for gas payments and the staking token for its proof-of-stake (PoS) consensus.
In the long term, the token would “play a crucial role in AggLayer,” Polygon’s growing network of aggregated blockchains.
“Current community consensus proposes that POL will support broader roles in the Polygon staking hub (launching in 2025), including block generation, zero-knowledge proof generation, and participation in Data Availability Committees (DACs).”
The POL upgrade went live on the Polygon testnet on July 17, giving network developers and infrastructure providers time to prepare for the mainnet upgrade.
Users holding MATIC on the Polygon network do not need to do anything and their tokens will be automatically upgraded. However, those holding MATIC on ethereum, Polygon zkEVM, or centralized exchanges will need to perform a bridge, upgrade smart contracts, or use a migration contract.
For users of most major centralized exchanges, Polygon expects the upgrade to happen automatically.
However, if a non-custodial user does not update the Remote Procedure Call (RPC) settings on their crypto wallet, it may incorrectly display “MATIC” instead of “POL” as the token symbol. RPC settings are configuration details that allow wallets like MetaMask to communicate with a specific blockchain network.
At the time of publication, there is no set deadline for MATIC holders on ethereum and Polygon zkEVM to upgrade to POL.
“The community will have the power to set a deadline in the future,” he said. technology/blog/save-the-date-matic-pol-migration-coming-september-4th-everything-you-need-to-know?utm_source=twitter&utm_medium=social&utm_campaign=blog” target=”_blank” rel=””>annotated announcement.
Plans to replace MATIC with POL were initially announced in July 2023, and the ethereum contract for the POL token was launched a few months later on October 25.
The POL migration is the first step in laying the foundation for Polygon 2.0, which is touted as the “value layer of the internet.” The upgrade is expected to offer significant improvements in scalability and liquidity.
POL would have an initial supply of 10 billion and offer holders governance rights in the Polygon 2.0 ecosystem. 2% of the entire POL supply will be reserved annually for validator rewards and the community treasury.
The announcement comes as Polygon’s nft sales volume eclipsed that of Solana and bitcoin earlier this month. The surge came despite the overall nft sector experiencing a more than 70% drop in the total number of nft buyers.
