What’s Polygon Ecosystem Token (POL)?

What’s Polygon Ecosystem Token (POL)?

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What’s Polygon Ecosystem Token (POL)?

The Polygon ecosystem is on the cusp of a major transformation with a proposal to transition its native token from MATIC to POL. This proposed change goals to boost the utility and performance inside the community. POL, poised to turn into the upgraded native token of the Polygon ecosystem, is designed to facilitate a broad spectrum of actions central to community operations, together with participation and bolstering community safety. As an integral a part of the ecosystem, POL will enable stakeholders to actively have interaction as validators via staking, thereby contributing to the general well being and safety of the community.

The POL token, mirroring lots of MATIC’s traits, might be based mostly on OpenZeppelin’s ERC20 implementations and can help EIP-2612 for signature-based allow approvals. This transition is deliberate to be seamless, guaranteeing compatibility and continuity for node operators, delegators, and utility builders inside the Polygon ecosystem. The preliminary provide of POL tokens is about to be 10 billion, sustaining a 1:1 ratio with the prevailing provide of MATIC, symbolising a direct improve moderately than the introduction of a wholly new token.

Polygon Ecosystem Token (POL)

Blockchain information present that the “Polygon Ecosystem Token,” generally known as POL, was established on October 25, 2023 at 9:06 am UTC. The Polygon group’s current announcement highlighted POL’s position in energising an intensive community of Layer 2 chains based mostly on zero-knowledge know-how. A notable function of POL is its “re-staking protocol,” which provides token holders the flexibleness to stake throughout a number of chains, enabling numerous functionalities.

The introduction of POL marks a major step within the development of the Polygon 2.0 roadmap. This consists of the event of a brand new staking layer inside the Polygon ecosystem, transitioning the prevailing PoS community to a zkEVM Layer-2 construction, and establishing a unified liquidity protocol that spans all Polygon networks, as per the group’s assertion.

It is very important word, because the group clarified, that POL shouldn’t be but in operational use inside the Polygon community, however it’s set emigrate on September 4th, 2024. The present staking processes on Polygon PoS and Polygon zkEVM are nonetheless performed with the unique token, MATIC, which can also be nonetheless getting used to pay fuel charges on the PoS community. As soon as the migration takes place on September 4th, customers and exchanges might want to change their MATIC to POL tokens.

Polygon Labs initially unveiled plans for creating this new Layer-2 ecosystem, termed “Polygon 2.0,” on June 29, 2023. Subsequently, on September 14th, 2023 the introduction of a brand new token, POL, for Polygon 2.0 was introduced. Nonetheless, at the moment, POL was merely a proposed concept and had not but been launched on the Ethereum community.

How will Polygon Work after the Polygon Ecosystem Token Improve?

The Polygon Ecosystem Token (POL) is about to deliver a number of vital enhancements to the Polygon community, aligning with a collection of well-defined design targets.

Initially, POL goals to bolster ecosystem safety. It’s designed to create a big, decentralised pool of validators to run and safe any Polygon chain, rewarding validators for his or her contributions and penalising any malicious actions. Secondly, POL is integral to reaching infinite scalability inside the Polygon ecosystem. It helps the enlargement of the validator pool, enabling the community to doubtlessly handle 1000’s of Polygon chains, an important step in direction of what’s termed as “hyperblockchainization.”

By way of ecosystem help, POL is predicted to play an important position in establishing a self-sustaining financial mannequin for Polygon’s ongoing growth and development. This facet is especially essential as Polygon positions itself as a worldwide community, requiring steady innovation and enlargement.

POL can also be designed to minimise friction generally related to blockchain networks, the place customers and builders usually want to carry, stake, or devour native tokens. This method goals to boost the general person and developer expertise. Lastly, POL is envisioned to facilitate group possession, with governance rights assigned to POL holders, enabling them to take part actively in decision-making processes that form the Polygon ecosystem.

From a utility perspective, POL serves a number of features. Validators might be required to stake POL to hitch the validator pool, growing the ecosystem’s safety via mechanisms like stopping Sybil assaults and enabling slashing for malicious validators. To incentivize validators, POL might be distributed as protocol rewards, proportional to the quantity staked.

Moreover, POL might be a key element in governance, permitting holders to take part within the governance frameworks of Polygon. The preliminary provide of POL is about to match that of MATIC at 10 billion tokens, guaranteeing a simple migration course of. This migration is essential for POL to succeed MATIC as Polygon’s native token, with the transition not beginning till Q1 2024, after the community-supported improve in This autumn 2023.

Concerning provide and emission, POL encompasses a predefined emission charge, serving two major functions: validator rewards and ecosystem help. The proposed yearly emission charge of 1% of the POL provide for every function ensures a steadiness between offering sufficient help to the ecosystem and sustaining token shortage, an important facet for community safety and market attractiveness. This emission coverage, predictable and doubtlessly modifiable by group governance, goals to nurture a secure and engaging financial atmosphere conducive to the expansion and adoption of the Polygon ecosystem.

After the POL Improve Why Will Polygon Be Distinctive?

The POL improve will make Polygon a novel and superior blockchain platform, providing a mix of excessive scalability, enhanced safety, progressive financial fashions, and a frictionless expertise, all ruled by a community-driven method. These attributes are set to place Polygon on the forefront of blockchain know-how, particularly for large-scale and numerous functions.

The POL improve focuses on enhancing ecosystem safety via a broader, extra decentralised validator pool. This may fortify the community towards assaults and align validators’ pursuits with the ecosystem’s success, guaranteeing a extra sturdy and safe platform.

With POL, Polygon goals to attain unprecedented scalability, supporting the expansion of the community to doubtlessly 1000’s of chains. This stage of scalability, dubbed “hyperblockchainisation,” positions Polygon as a number one answer for large-scale blockchain functions and mass adoption.

The introduction of a re-staking protocol with POL permits stakeholders to stake throughout a number of chains inside the ecosystem. This multi-chain staking functionality not solely enhances safety but additionally optimises useful resource utilisation, making Polygon extremely environment friendly.

What is going to the Polygon Ecosystem be Like After the POL Improve?

POL will improve Polygon ecosystem safety via a extremely decentralised pool of Proof-of-Stake (PoS) validators, who’re incentivized to safe a large number of chains inside the Polygon community. This design goals to attain infinite scalability, supporting the exponential development of the Polygon ecosystem and paving the way in which for mainstream adoption. POL additionally helps the ecosystem by establishing a sustainable, in-protocol mechanism for ongoing growth and development actions, ruled by the Polygon group. This community-driven method ensures that the ecosystem evolves with decentralisation at its core.

The multifaceted utility of POL revolves round its position in validator incentivisation. Validators are required to stake POL to hitch the validator set, contributing to the community’s safety via mechanisms corresponding to Sybil assault prevention, alignment with ecosystem success, and slashing for misconduct. In return, validators can earn rewards via protocol emissions, transaction charges, and extra incentives supplied by particular person Polygon chains. This broad definition of validation roles, together with duties like zero-knowledge proof era and participation in Knowledge Availability Committees, enhances the worth proposition of being a validator within the Polygon ecosystem.

To future-proof the ecosystem and help its development till Web3 reaches mass adoption, a steady emission of POL is proposed to fund a Neighborhood Treasury. This fund might be important for protocol growth, analysis, ecosystem grants, and adoption incentives, with governance vested within the Polygon group. The transition from MATIC to POL is deliberate as a seamless improve, requiring token holders to trade MATIC for POL via a simple technical course of, with ample time offered for the migration.

What’s the POL Token?

The POL token is a proposed technical improve to the native asset of the Polygon community, supposed to boost and develop the community’s infrastructure and performance. This new token is a part of a broader initiative to remodel Polygon into the “Worth Layer of the Web,” a imaginative and prescient that encompasses a extra sturdy and scalable ecosystem. 

POL is designed as a ‘hyperproductive’ token, an evolution past conventional productive tokens like Ethereum’s ETH. It permits its holders to interact within the community not simply as validators but additionally in a number of roles throughout varied chains inside the Polygon ecosystem. A few of the key traits of the POL token embrace:

  • Validator Participation: POL permits holders to take part as validators within the community. This includes staking POL tokens, which contributes to the safety and integrity of the Polygon ecosystem. The staking mechanism is important for stopping Sybil assaults, aligning validators with the ecosystem’s success, and enabling punitive measures towards malicious actions.
  • Multi-Chain Validation and Rewards: A particular function of POL is the power for validators to validate a number of chains inside the Polygon community. This multi-chain validation functionality vastly will increase the scalability of the ecosystem and provides validators the chance to earn rewards from varied sources, together with protocol rewards, transaction charges, and extra incentives offered by particular person chains.
  • Neighborhood Governance and Ecosystem Help: As a hyperproductive token, POL can also be geared in direction of enabling group governance. Holders of POL can have governance rights, permitting them to take part in decision-making processes that form the way forward for the Polygon ecosystem. Furthermore, POL goals to determine a self-sustaining funding mechanism for ongoing growth, analysis, and ecosystem development.
  • Seamless Person Expertise: Designed to minimise friction for each customers and builders, POL is structured to facilitate simple interplay with the Polygon community, enhancing the general expertise and accessibility.
  • Emission Coverage for Ecosystem Funding: POL can have a predetermined emission charge to help validator rewards and a Neighborhood Treasury. This Treasury, ruled by the Polygon group, is meant to fund varied actions essential for the ecosystem’s development, together with protocol growth and adoption incentives.

Polygon Ecosystem Token (POL) Tokenomics

  • Improve and Alternative of MATIC: POL shouldn’t be a very new token; moderately, it’s an upgraded and renamed model of the prevailing MATIC token. Within the Polygon ecosystem, MATIC and POL are usually not supposed to coexist. As an alternative, POL will change MATIC because the native token. This transition marks a major shift within the token’s utility and position inside the community, aligning with the broader targets of Polygon’s strategic evolution.
  • Introduction of the Neighborhood Treasury: The Neighborhood Treasury is a brand new mechanism being launched alongside POL. Its function is to not complement the Polygon Basis’s funds however to supply a self-sustaining help system for the Polygon ecosystem. The Neighborhood Treasury is envisioned as an unbiased entity that may bolster Polygon’s place within the aggressive blockchain infrastructure market. This Treasury might be key in responding to the emergence of recent infrastructure protocols with substantial token reserves. Moreover, it goals to boost transparency, decentralisation, and group involvement within the Polygon ecosystem, guaranteeing that the community stays aggressive and adaptive.
  • Use of POL for Gasoline Charges: Using POL for fuel charges will rely upon the person decisions of every chain inside the Polygon ecosystem. Whereas some chains would possibly decide to make use of POL for fuel charges, this isn’t a hard and fast or common utility for the token. Particularly, for the Polygon Proof of Stake (PoS) chain, the transition to POL implies that it might turn into one of many chains utilizing POL for fuel charges.

Be a part of the converstation to focus on POL in our Discord!

Tips on how to purchase POL with crypto

1. Log in to your Bitfinex account or join to create one.

2. Go to the Deposit web page.

3. Within the Cryptocurrencies part, select the crypto you intend to purchase POL with and generate a deposit deal with on the Change pockets.

4. Ship the crypto to the generated deposit deal with.

5. As soon as the funds arrive in your pockets, you possibly can commerce them for POL. Discover ways to commerce on Bitfinex right here.

Tips on how to purchase POL with fiat

1. Log in to your Bitfinex account or join to create one.

2. You have to get full verification to have the ability to deposit fiat to your Bitfinex account. Find out about totally different verification ranges right here.

3. On the Deposit web page, beneath the Financial institution Wire menu, select the fiat forex of your deposit. There’s a minimal quantity for fiat deposits on Bitfinex; study extra right here.

4. Verify your Bitfinex registered electronic mail for the wire particulars.

5. Ship the funds.

6. As soon as the funds arrive in your pockets, you should utilize them to purchase POL.

Tips on how to convert your MATIC tokens to POL on Bitfinex

1. As a part of Polygon (MATIC) migration to Polygon Ecosystem Token (POL), Bitfinex has additionally enabled new forex conversion instruments on its Wallets Web page permitting prospects to seamlessly swap between Polygon MATIC ERC-20 (Ticker: MATIC), Polygon MATIC Mainnet PoS (Ticker: MATICM) and Polygon Ecosystem Token (Ticker: POL).

2. Particularly:

  • from MATICM to POL
  • from MATIC to POL
  • from MATICM to MATIC, and vice versa (already supported)

3. Bitfinex is not going to convert MATIC or MATICM to POL on behalf of consumers. Prospects might use the forex conversion instruments to do that at their very own discretion at any time after 04/09/2024 at 10:00 AM UTC.

Additionally, we now have Bitfinex on cell, so you possibly can simply purchase POL forex whereas on-the-go.

[AppStore]  [Google Play]

POL Neighborhood Channels

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