- Polygon announces major rebranding, proposing to replace the core MATIC token with a new ‘hyperproductive’ token, POL.
- The upgrade encompasses community treasury fees and a 1:1 swap offer for MATIC holders to exchange their assets for POL.
In a groundbreaking move, Polygon (MATIC), the largest EVM ecosystem blockchain, plans to significantly revamp its economic architecture. This change could potentially see the MATIC token replaced with the POL token, should the proposed measures gain community approval.
Evolution from MATIC to POL: An Upgraded Economic Model
Polygon’s proposed shift to Polygon 2.0 has sparked a buzz in the blockchain community, especially with the unveiling of the potential new POL token. This prospective change aims to refine the network’s proof-of-stake (PoS) consensus incentives.
The introduction of the POL token offers stakers the unique opportunity to validate transactions across a variety of Polygon’s blockchains, encompassing all Polygon Supernets, zkEVM, Validium, among others. This development signifies a major leap in the network’s approach to validators’ roles and incentive programs.
Polygon Labs touts the POL token as the next stage in the evolution of key network assets. Drawing a comparison, while Bitcoin’s BTC is deemed an unproductive token and Ethereum’s ETH as a productive one, POL emerges as a hyperproductive token, revolutionizing the role of token holders in the protocol. Once this proposal is implemented, MATIC holders will be given the option to swap their assets to POL at a 1:1 ratio, eliminating the coexistence of two governance and staking assets within Polygon’s design.
Incentivizing Sustainability in Blockchain Projects
The proposed upgrade isn’t solely about the token swap. It also introduces community treasury fees. According to the proposition, 1% of POL emissions will be directed towards ecosystem initiatives, and another 1% will serve as rewards for validators.
Esteemed DeFi developer and researcher, Mikko Ohtamaa, applauds this approach, considering it the only feasible method to establish a sustainable ecosystem for contemporary cryptocurrency projects.
This radical redesign of Polygon (MATIC) aims to adjust the network to accommodate the growing demands of the DeFi era, once again pushing the boundaries of what’s possible within the blockchain sphere. The success of these proposed changes, however, is reliant on the approval of the Polygon community.