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Polygon’s native token, MATIC, is poised for a metamorphosis. Sandeep Nailwal, the founding father of Polygon Labs, has hinted at a big technical improve that may evolve MATIC into POL, touted as a “third-generation token.”

According to Nailwal’s X platform submit, the upcoming POL evolution represents greater than a reputation change. POL encapsulates developments that provide the attract of multi-chain staking minus the dangers historically related to restaking. 

POL is an enormous technical improve to MATIC

POL delivers the advantages of multi-chain staking with out the added dangers of restaking. With the Polygon 2.0 proposal, the Polygon Ecosystem will broaden from a single chain to an ecosystem of L2s that may simply interoperate and share…

— Sandeep Nailwal | sandeep. polygon 💜 (@sandeepnailwal) August 28, 2023

As Polygon 2.0 unfolds, the platform would burgeon from a single chain to a complete ecosystem of interoperable L2s, which may seamlessly share liquidity amongst themselves.

The Functionality of POL

In Polygon 2.0, the introduction of the newly devised POL will see it staked in a chosen ‘staking hub.’ This mechanism, termed “enshrined restaking,” empowers POL to stake throughout numerous chains and tackle diverse roles. As a outcome, stakers may reap enhanced rewards with out rising their staked capital. 

Highlighting the transformation of tokens over time, Nailwal in contrast the passive nature of BTC’s first-generation holders with the lively staking capabilities ETH launched within the second era. With the third-generation POL, holders are introduced with unprecedented versatility, securing a number of networks and embracing a spectrum of roles.

A urgent concern raised by a consumer revolved across the transition mechanism. The consumer, who had staked MATIC, was eager on understanding how the shift would affect their staked tokens. Nailwal responded by hinting at a streamlined “1/2 click upgrade” from staked MATIC to staked POL, assuring extra readability on the governance approval.

Current Market Dynamics

As of now, Polygon’s valuation hovers at $0.569232 per token. Despite witnessing a slight 4.32% dip prior to now 24 hours, its market cap stands sturdy at over $5.3 billion, rating 14th on CoinMarketCap. Out of a most provide of 10 billion MATIC cash, round 9.3 billion are circulating, signaling robust investor belief and a possible progress trajectory.

The evolution from MATIC to POL guarantees a recent chapter of innovation and alternatives. As the group eagerly awaits extra particulars, it’s evident that Polygon is charting a course towards uncharted territories.

Sunil is a serial entrepreneur and has been working in blockchain and cryptocurrency area for two years now. Previously he co-founded Govt. of India supported startup InThinks and is at present Chief Editor at Coingape and CEO at SquadX, a fintech startup. He has printed greater than 100 articles on cryptocurrency and blockchain and has assisted a lot of ICO’s of their success. He has co-designed blockchain improvement industrial coaching and has hosted many interviews in previous. Follow him on Twitter at @sharmasunil8114 and attain out to him at sunil (at) coingape.com

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