The MATIC token of the network would be replaced with POL in a token upgrade proposed by a group of Polygon founders and researchers, enabling POL to serve as a single token for all Polygon-based networks.
The primary Polygon blockchain, the Polygon zkEVM network, and various supernets—application-specific blockchains that sit atop the primary Polygon network—are among these networks.
In the first three minutes following the announcement, MATIC increased by as much as 2.6% to $0.747 thanks to the proposal.
Network validators will be able to support the operation of multiple chains using a single token if the proposal is approved.
Sending MATIC to the upgrade smart contract, which will instantly return the equivalent amount of POL, is the only technical action needed to upgrade from MATIC to POL. If the community is in favor of the change, token holders would be given plenty of time to upgrade—a suggested four years or more.
The community of each Polygon chain will ultimately decide which token will be used for gas fees; some of them may choose POL. All rewards will be distributed in POL, and holders will use POL to vote on governance proposals for decentralized applications built on Polygon.
Enhanced Utility And Use Cases
Enhanced Utility And Use Cases
The primary objective of the MATIC-to-POL token switch is to provide users with a more versatile and feature-rich token. The POL token is expected to offer a broader range of use cases, catering to the diverse needs of developers and users on the Polygon network. With enhanced utility, POL tokens are poised to become a more valuable asset within the blockchain ecosystem.
Improved Tokenomics And Governance
Improved Tokenomics And Governance
Polygon recognizes the importance of a robust governance model to ensure community participation and inclusivity. The switch to POL tokens will bring an upgraded tokenomics structure, granting holders increased governance rights. This upgrade empowers stakeholders to actively participate in decision-making processes, driving the platform’s evolution through community-driven initiatives.
