Oct Logo
Search Icon
Oct Logo
Search Icon
Bitcoin iconETH
$0000
arrow icon0.61%
Polygon Kicks Off MATIC to POL Token Migration: What You Need to Know

Polygon Kicks Off MATIC to POL Token Migration: What You Need to Know

Polygon’s transition from MATIC to POL marks a pivotal moment in its journey towards a more flexible and robust network. As the migration unfolds, the crypto community will be watching closely to see how this upgrade impacts both the network...

Image of Tanishq BodhTanishq BodhNews

Sep 4, 2024

Image of Tanishq Bodh

Tanishq Bodh

Polygon’s Major Token Migration Begins

Polygon, the Ethereum-based Layer-2 powerhouse, is set to initiate its much-anticipated migration from MATIC to POL tokens within hours. This upgrade is a key step in Polygon’s evolution, aiming to enhance token flexibility and bolster the network’s functions as part of its broader “Polygon 2.0” roadmap.

Auto-Conversion for MATIC Holders on Polygon PoS

For those holding MATIC on the Polygon Proof of Stake (PoS) network, the migration will be seamless, with tokens automatically converting to POL. However, users holding MATIC on Ethereum or Polygon’s zkEVM layer-2 network will need to manually migrate their tokens. This can be done via the Polygon Portal Interface or by bridging to Ethereum.

POL: The Core of Polygon 2.0

The newly introduced POL token will become the backbone of Polygon’s ecosystem, serving as the native gas and staking token across the network. Polygon officials describe POL as a “hyperproductive token,” capable of providing essential services to any chain within the Polygon network, including the AggLayer—an integral component of Polygon 2.0 that unifies various blockchain platforms using Polygon’s technology.

Tokenomics Overhaul and Future Functions

As part of the shift, POL will introduce a new emission rate of 2% annually. This will reward validators on the Polygon PoS chain and help replenish the community treasury, ensuring the network’s sustainability and growth. Additionally, POL is slated to support crucial functions within Polygon’s staking hub, expected to launch in 2025. These include block generation, zero-knowledge proof generation, and participation in Data Availability Committees (DACs).

Impact on MATIC Holders and Market Reactions

With a market capitalization of $3.6 billion and ranking as the 28th largest crypto asset, MATIC’s migration to POL is a significant event for the crypto community. However, market reactions have been mixed, with MATIC experiencing a price dip ahead of the migration. Despite this, the long-term outlook for POL within the Polygon ecosystem remains optimistic, given its expanded role and functionality.

No Immediate Deadline for Migration

Currently, there’s no set deadline for MATIC holders on Ethereum or Polygon’s zkEVM to migrate their tokens to POL. However, Polygon has hinted that a deadline may be imposed in the future, urging users to stay informed and act accordingly.

Trusted

Our Crypto Talk is committed to unbiased, transparent, and true reporting to the best of our knowledge. This news article aims to provide accurate information in a timely manner. However, we advise the readers to verify facts independently and consult a professional before making any decisions based on the content since our sources could be wrong too. Check our Terms and conditions for more info.

In this article

Polygon’s Major Token Migration Begins

Auto-Conversion for MATIC Holders on Polygon PoS

POL: The Core of Polygon 2.0

Tokenomics Overhaul and Future Functions

Impact on MATIC Holders and Market Reactions

No Immediate Deadline for Migration

Hero Image
Share with your community!
FacebookXLinkedIn
Fetching related reads...
Hero Image
Share with your community!
FacebookXLinkedIn
Fetching related reads...

Fetching related reads