Polygon has set September 4 because the date for transition from its native MATIC tokens to the brand new Polygon Ecosystem Token (POL) tokens.
Polygon is gearing up for an upcoming transition from its native MATIC tokens to the brand new Polygon Ecosystem Token (POL) tokens. As per an August 18 announcement, the brand new replace is ready to occur on September 4. It goals to assign POL the primary token for gasoline charges and staking functionalities throughout the scaling resolution’s Proof-of-Stake (PoS) community.
Notably, this plan comes beneath the broader Polygon 2.0 improve, which began with the preliminary launch of three Polygon Enchancment Proposals (PIPs).
The transition from MATIC to POL shall be a phased rollout that displays Polygon’s broader ambitions to boost its community’s effectivity. Initially, POL will change MATIC to imagine tasks because the core gasoline and staking token.
Polygon plans to incorporate POL additional into its cutting-edge AggLayer venture within the later phases. AggLayer, which is created to optimize Layer 2 options, will see POL enjoying a serious function in its operations, marking a brand new chapter within the community’s evolution.
You will need to notice that the testing of the Polygon PoS improve from MATIC to POL went dwell on July 17. The first objective behind this testnet was to seek out and remedy any points earlier than the precise mainnet migration.
Migration Particulars
Polygon’s PoS community customers holding MATIC don’t must take any steps for this extremely anticipated transition. Then again, these with MATIC on Ethereum, Polygon zkEVM, or centralized exchanges might need to comply with sure procedures to take part. Curiously, Ethereum already has a migration contract in place, permitting for a seamless and permissionless improve for many who select to transition.
Notably, Polygon has not explicitly set any deadline for this token migration. Nevertheless, the neighborhood retains the ability to declare a deadline anytime, as per the discharge.
The Polygon 2.0 roadmap plans to introduce a brand new staking layer designed to boost Polygon’s Layer 2 (L2) options and the improve of Polygon PoS to zkRollup know-how. Amid this huge plan, Polygon announced two separate partnerships with Fox Company and Ronin Community in June to extend the use case of its zero-knowledge (ZK) know-how.
MATIC Worth Dynamics
Because the market digests this information, MATIC has proven a slight upward motion. It’s at present trading round $0.418, a 1% improve previously 24 hours. This value motion is accompanied by a surge in buying and selling quantity, up by 30% to $144 million.
With a market cap of $4.16 billion, MATIC at present ranks because the twenty first greatest crypto by market capitalization, in response to CoinMarketCap.
Nevertheless, it’s essential to notice that MATIC has not carried out as strongly on this bull cycle in comparison with its explosive progress within the final cycle. The token stays down by over 27% over the previous yr and is at present buying and selling 85% beneath its all-time excessive of $2.92, achieved in December 2021. MATIC holders expect the token to achieve $2 by the height of this ongoing cycle.
Earlier this month, Web3 sport GasHero announced that it burnt greater than 116,000 MATIC, price round $50,000, by way of gasoline charges on Polygon.
