Token

Polygon

Polygon Ethereum scaling solution, is preparing for a major shift in its ecosystem. On September 4, 2024, the MATIC token will&nbsp;<a style="text-decoration:none" href="https://polygon.technology/blog/save-the-date-matic-pol-migration-coming-september-4th-everything-you-need-to-know?utm_source=twitter&amp;utm_medium=social&amp;utm_campaign=blog" rel="noopener noreferrer nofollow">officially migrate to POL</a>, a new token designed to enhance the network’s functionality and support its ambitious AggLayer project.&nbsp;
<div>
 <blockquote class="twitter-tweet">
 420 hours until the MATIC to POL migration on Sep 4 🤫 <a href="https://t.co/PLJe0AOh0w" rel="noopener noreferrer nofollow">https://t.co/PLJe0AOh0w</a>— Polygon | Aggregated (@0xPolygon) <a href="https://twitter.com/0xPolygon/status/1824959393466650654?ref_src=twsrc%5Etfw" rel="noopener noreferrer nofollow">August 18, 2024</a>
 </blockquote>
</div>
<h2 dir="ltr" id="span-span-the-migration-process-span-span">The Migration Process</h2>
Polygon has outlined the migration of MATIC to POL in a multi-phase rollout. This change is pivotal as POL will replace MATIC as the native gas and staking token for the Polygon Proof-of-Stake (PoS) network.&nbsp;
&nbsp;
The new token will reportedly play a significant role in Polygon’s AggLayer, which is central to its scaling solutions. This move is expected to enhance the network's functionality and facilitate future developments within Polygon’s expanding ecosystem.
&nbsp;
The AggLayer is a core component of Polygon’s vision for scaling. It aims to create a unified network of chains using the Polygon Chain Development Kit (CDK), addressing centralization and security concerns often associated with traditional centralized bridges.&nbsp;
<h2 dir="ltr" id="span-span-polygon-s-agglayer-vision-span-span">Polygon's AggLayer Vision</h2>
The AggLayer is defined as a horizontally scalable multichain network that enables shared liquidity and state across connected chains. It will host several ZK-powered Layer 1 (L1) and Layer 2 (L2) blockchains, secured by a common validator set.&nbsp;
&nbsp;
Using this setup, cross-chain transactions will be near-instant, and a single cross-chain bridge will connect each blockchain to Ethereum, eliminating the need for each blockchain to maintain its own bridge.
&nbsp;
Per reports, the introduction of the Polygon zkEVM prover kit will also allow developers to convert existing EVM chains into ZK L2s, integrating them into the AggLayer. This approach aims to enhance user experience by making multiple blockchains function seamlessly together.
<h2 dir="ltr" id="span-span-introducing-the-pol-token-span-span">Introducing the POL Token</h2>
The POL token will replace MATIC on a 1:1 basis starting September 4. According to the Polygon team, POL is set to improve upon MATIC in several ways:
<ul>
 <li>Shared Security: POL validators will validate multiple chains within the AggLayer, enhancing overall security.</li>
 <li>Increased Incentives: Validators will receive additional rewards and roles, boosting participation and engagement.</li>
 <li>Validator Roles: POL introduces new roles for validators, including generating ZK proofs and participating in data availability committees.</li>
 <li>Community Treasury: POL will support a Community Treasury funded by continuous POL emissions. This treasury will finance protocol development, research, grants, and adoption incentives.</li>
 <li>Governance: POL holders will have a say in managing the Community Treasury.</li>
</ul>
<h2 dir="ltr" id="span-span-pol-tokenomics-span-span">POL Tokenomics</h2>
The POL token will have an initial supply of 10 billion tokens, matching the total supply of MATIC. It will feature an annual emission rate of 1%, allocated for staking rewards and community treasury funding. An additional 1% annual compounding emission will be dedicated to the Community Treasury.
<h2 dir="ltr" id="span-span-impact-on-matic-holders-span-span">Impact on MATIC Holders</h2>
For MATIC holders on the Polygon PoS chain, the migration to POL will be automatic, with no required action.&nbsp;
&nbsp;
However, MATIC holders on Ethereum, Polygon zkEVM, or centralized exchanges (CEXs) will need to take steps to upgrade their MATIC to POL. Learn more&nbsp;<a style="text-decoration:none" href="https://polygon.technology/blog/save-the-date-matic-pol-migration-coming-september-4th-everything-you-need-to-know" rel="noopener noreferrer nofollow">here</a>.

Polygon’s MATIC to POL Token Migration on September 4: Everything You Need to Know

Table of Contents

BSCN

Other articles published on Aug 21, 2024

Bitcoin ETFs Receive $88M in Net Inflows as Ethereum ETFs See $6.5M in Outflows

Cardano (ADA) Explodes 52% in Critical Indicator: Details

Bitcoin Rises and Falls Due to Delayed US Payroll Data

Whale loses over $55m in DAI stablecoin to phishing attack

Yellow Card integrates Fireblocks wallet to improve cross-border transactions

Crypto Analyst Predicts Ethereum Could Reach $3,217.86 in 2024

Join our free newsletter for daily crypto updates!