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Polygon’s network is set to undergo a transformative shift on September 4th as the MATIC token transitions to POL. Initially, POL will assume the mantle as the primary fuel powering transactions and staking on the Polygon PoS chain. This evolution positions POL as a cornerstone for the network’s future, with a pivotal role in the development of the AggLayer ecosystem.
Polygon’s highly anticipated transition from MATIC to POL is set to commence on September 4th. Initially, POL will replace MATIC as the primary token for network fees and staking on the Polygon PoS chain. The future role of POL extends beyond this, with the community set to determine its utility in the upcoming AggLayer. Importantly, holders of MATIC on the Polygon PoS chain will experience a seamless transition without needing to take any action. However, those holding MATIC on Ethereum, Polygon zkEVM, or centralized exchanges may require specific migration steps. While MATIC stakers and delegators on Ethereum need not worry, a successful testnet migration on July 17th signals a smooth path ahead for this major network upgrade.
The Catalyst for Polygon’s Evolution
Born from extensive community engagement and shaped through a series of governance proposals, POL is poised to be the linchpin of Polygon’s expansion. This upgraded token, replacing MATIC, will initially fuel the Polygon PoS network as both gas and staking currency.
Beyond its immediate role, POL is designed for a broader future. As Polygon evolves into an aggregated ecosystem, the token will play an increasingly vital part, contributing to services across multiple chains, including the forthcoming AggLayer. Its utility is set to expand further with potential involvement in the Polygon staking hub, encompassing block generation, zero-knowledge proofs, and Data Availability Committees.
This transition signifies a pivotal moment for Polygon. With POL as its foundation, the network is well-equipped to scale, secure, and serve the growing demands of its ecosystem.
What Happens to Your MATIC?
For those holding MATIC directly on the Polygon PoS network, there’s no need to lift a finger. Your MATIC will seamlessly transform into POL, the new lifeblood of the Polygon ecosystem.
However, if your MATIC resides on Ethereum, Polygon zkEVM, or a centralized exchange, the path forward requires a bit more attention. While there’s no immediate deadline to convert your MATIC to POL, a migration contract is available for those eager to make the switch.
To ensure a smooth transition for the entire network, the platform has conducted a thorough testnet migration. This trial run has allowed us to identify and address potential hurdles, bolstering our confidence in the mainnet upgrade.
The team understand that this transition might raise questions. The following sections will provide more specific details and address common concerns to guide the community through this exciting evolution.
Source: create.vista.com
MATIC Holders on Ethereum
To upgrade MATIC tokens to POL, users have two primary options. The first involves direct interaction with the migration contract, accessible via the provided Etherscan link. This method offers maximum control but requires technical proficiency.
Alternatively, users can leverage decentralized exchange (DEX) aggregators such as 1inch, Kyber, or CowSwap. These platforms provide a more user-friendly interface for the migration process. However, it’s crucial for users to thoroughly understand the terms and conditions associated with these platforms, as the upgrade process is managed independently by the DEX aggregator and the user.
MATIC Holders on zkEVM
To upgrade MATIC tokens to POL on zkEVM, users have two primary options. The first involves bridging MATIC tokens to the Ethereum network and then following the upgrade process outlined for Ethereum-based MATIC holders.
Alternatively, users can explore decentralized exchange (DEX) platforms or aggregators operating on the zkEVM network. These platforms may offer direct swaps from MATIC to POL, eliminating the need for bridging to Ethereum.
DeFi Protocols and dApps on Polygon PoS
The POL upgrade will automatically transition all liquidity pools on Polygon PoS from MATIC to POL on September 4, 2024. No smart contract modifications are necessary for this change.
To maintain data accuracy, DeFi protocol developers are encouraged to update their price oracles to reflect POL as soon as possible. This step is crucial for providing reliable price feeds to the ecosystem.
Furthermore, to ensure user clarity, dApp developers should consider replacing references to MATIC and wrapped MATIC (wMATIC) with POL and wrapped POL (wPOL) respectively. This adjustment aligns the user interface with the network’s updated token standard.
DeFi Protocols and dApps on Ethereum
To fully embrace the POL ecosystem, DeFi protocols and dApps on Ethereum should consider implementing several strategic measures. Establishing dedicated smart contracts, liquidity pools, and other essential infrastructure for POL is crucial to supporting the new token.
Leveraging the migration contract can significantly enhance the user experience by providing a seamless pathway for MATIC holders to upgrade their tokens to POL. This approach ensures a smooth transition and encourages broader adoption of the new token within the Ethereum ecosystem.
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