Celebrations are on the way as Polygon is shaking things up.
Here’s the latest crypto news: Polygon has just executed a significant technical upgrade, transitioning its MATIC token to the new POL token on a 1:1 basis.
This upgrade, which took effect on September 4, marks the token’s evolution into the network’s native gas and staking currency.
Marc Boiron, CEO of Polygon Labs, emphasized:
Now that there are 2% emissions being introduced through this upgrade, it’s going to give an opportunity for the community to participate… Technically even though the full migration hasn’t happened, [season 1 of the community grants program] created some emissions that the community’s been able to use.”
Currently ranked as the world’s 21st largest cryptocurrency with a market capitalization of $3.7 billion, Polygon’s upgrade is the culmination of a year of detailed community discussions and consensus-building. It’s also a key part of Boiron’s broader vision for Polygon 2.0.
One of the major goals of this upgrade is to transform POL into what Boiron describes as a “hyperproductive” token. Unlike MATIC, which only earned fees from gas and staking, POL is designed to generate revenue from multiple sources.
This includes staking to secure data availability and decentralizing sequencers, with additional fee-generation opportunities on the horizon. Boiron sees this as the next step in the evolution of tokens like Ethereum’s ETH, which primarily earns gas fees from transactions.
As for the MATIC to POL migration, although it was officially completed on September 4, holders of MATIC have no strict deadline to upgrade their tokens. Staked MATIC will be automatically converted to POL without any required action.
This upgrade is more than a token swap; it’s a crucial step toward realizing the ambitious vision of Polygon 2.0. The new POL token will also play a central role in Polygon’s AggLayer, a cross-chain interoperability protocol designed to unify siloed blockchains and deliver “infinite scalability.”
The successful execution of the testnet upgrade on July 17 has laid the groundwork for these sweeping changes, positioning Polygon to not just keep pace with the rapidly evolving blockchain landscape but to lead it.
