Polygon 2.0 Launches With MATIC → POL Token Migration

On Wednesday, the layer-2 network Polygon, which sits atop the Ethereum blockchain, will go live with an upgrade that replaces its long-standing MATIC

Layer-2 network Polygon, which sits atop the Ethereum blockchain, is set to go live with an upgrade on Wednesday that will replace its long-standing MATIC token with a new POL token, giving it greater flexibility when issuing fresh supply.

Polygon 2.0 aims to transform the single proof-of-stake (PoS) network into an ecosystem of connected blockchains powered by zero-knowledge (ZK) technology – and this shift is a key part of that vision.

SAVE THE DATE: MATIC → POLAfter community consensus, the long-awaited upgrade is set for September 4th

• Initial phase: POL replaces MATIC as the native gas and staking token for Polygon PoS

• Subsequent phases: POL will play a critical role in the AggLayerMore details? pic.twitter.com/SyxsFAlOeZ

POL Migration From MATIC

The POL migration is part of Polygon 2.0, a strategic upgrade to help Polygon become a leader in blockchain interoperability and scalability, according to an official blog introduction from Polygon Labs. Dubbed a “third-generation” currency, POL will be used as both a staking and gas fee payment token on Polygon’s proof-of-work blockchain. The scalable multichain network AggLayer will allow POL to facilitate smooth cross-chain transactions and enhance security across multiple Polygon chains.

“POL is a hyperproductive token that can be used to provide valuable services to any chain in the Polygon network, including the AggLayer itself,” wrote Polygon in their blog post.

The switch from MATIC to POL will also come with changes to the tokenomics. The token will now have an annual emission of 2%, a portion of which will be rewarded to validators on Polygon PoS, while another portion will go towards the community treasury, which Polygon describes as “a self-sustainable ecosystem fund that can support the above activities.”

Boiron also reiterated that adding emissions is meant to help the Polygon community ecosystem by adding a grants program as part of the community treasury, giving them “some form of control by the community over the funds so that you can grow the ecosystem.”

Auto Upgrade for Token Holders

If you’re holding your MATIC on Polygon PoS, the network’s developers said that your tokens will be automatically updated without any need to manually migrate them. However, you will need to update your RPC settings in order for your wallet to reflect the ticker change. For example, in MetaMask, you can change the currency symbol by heading to settings and then networks. From there, you can edit the field that says “MATIC” to “POL” instead.

For token holders on Ethereum, you can use the Etherscan token migration contract to swap to POL. However, if you aren’t comfortable working directly with smart contracts, Polygon Labs advises that you can simply trade your MATIC for POL on a decentralized exchange. For those holding MATIC on centralized exchanges, it’s important to note that each exchange will likely have its own policies regarding the POL migration. It’s unlikely that you’ll need to do anything, however.

Ahead of the September 4 mainnet upgrade, Polygon Labs has already deployed the POL update on the testnet, allowing developers and users to begin familiarizing themselves with the migration process.