See the live Polygon price UK. Buy Polygon in the UK or add it to your Crypto Strategy.

The Polygon Ecosystem Token (POL) is an upgrade from the existing MATIC token, forming part of the ambitious Polygon 2.0 roadmap. This transition is designed to significantly improve the network’s functionality, scalability, and infrastructure. POL will become integral to various network activities, such as enhancing security, facilitating governance, and enabling participation in validation processes.

One of the key features of POL is its role in network security through validator participation. Token holders can become validators by staking their POL tokens, which contributes to maintaining the network's integrity and preventing Sybil attacks. The staking process aligns the validators’ interests with the success of the ecosystem and includes punitive measures for any malicious behavior. Validators are rewarded with POL tokens through protocol emissions and transaction fees, offering incentives to support the network.

POL also introduces the ability to stake across multiple chains within the Polygon network, a concept known as multi-chain validation. This capability increases the network’s scalability by allowing validators to participate in securing multiple chains simultaneously. Validators can earn rewards not only from the core network but also from different chains, thus optimizing their returns and reinforcing network security.

In terms of governance, POL is designed to empower token holders with the ability to influence the future of the Polygon ecosystem. Holders will have governance rights, allowing them to participate in important decisions related to network upgrades, ecosystem development, and funding initiatives. This community-driven governance model aligns with the broader goals of decentralization within the Polygon network.

POL is also structured to support the ongoing development of the ecosystem through a predefined emission rate. A portion of the tokens will fund a Community Treasury, which will play a vital role in financing protocol development, ecosystem grants, and adoption initiatives. This treasury is intended to create a self-sustaining model, ensuring the Polygon network remains competitive and continues to evolve.

The migration from MATIC to POL is set to begin in September 2024, with the supply of POL matching that of MATIC at 10 billion tokens, ensuring a seamless transition for users. This migration will not only maintain token compatibility but also introduce new utilities for POL. While POL may be used for gas fees on some Polygon chains, the exact implementation of this feature will depend on the preferences of each chain within the ecosystem.

Overall, POL is designed to be more than just a replacement for MATIC. It is a "hyperproductive" token, intended to facilitate a wide range of activities within the Polygon network, including securing the network, governing its future, and supporting its expansion. Through this upgrade, Polygon aims to position itself as a leading solution in the blockchain space, fostering greater scalability, security, and decentralization.