Headline: Polygon Founders Suggest Token Transition from MATIC to POL to Enhance Utility
A consortium of Polygon founders and researchers have proposed a token upgrade that would swap the network’s current MATIC token for POL. The new token is designed to function as the sole token for all Polygon-based networks, including the main Polygon blockchain, the Polygon zkEVM network, and several supernets, which are application-specific blockchains operating on top of the main Polygon network.
The proposed token switch had an immediate impact on MATIC’s value, with the token gaining 2.6% to reach $0.747 within three minutes of the announcement.
Should the community support the proposal, network validators will have the capacity to back the functioning of numerous chains using a single token. Transitioning from MATIC to POL would involve a straightforward technical procedure: token holders would send their MATIC to the upgrade smart contract, which would then automatically return an equivalent amount of POL. Token holders are proposed to have a generous period of at least four years to complete the upgrade.
The specific token to be used for gas fees will be determined by each Polygon chain’s community, with some potentially opting for POL. POL will also be utilized for voting on governance proposals for decentralized applications (dApps) built on the Polygon network, and all rewards would be distributed in POL.
