Polygon has come up with a suggestion that aims to switch the MATIC token of the network with the POL network. This follows the release of the Polygon 2.0 roadmap.
Concerning the announcement, a group of researchers of the Polygon Ecosystem has published a white paper suggesting POL, an upgrade of the MATIC network, to take over. POL has been considered the 3rd generation protocol token with the group mentioning that it is designed to become the major tool for management and control of the network.
The following are some of the advantages that POL is anticipated to bring:
- POL has a new design that will increase the productivity of the tokens enabling its holders to become validators and receive rewards.
- POL will enable its holders to validate as many chains as they desire.
- The chains within the POL network can bring a wide variety of roles and rewards to the validators.
- The Polygon Labs mentioned that the utility of the POL centers will concentrate on aligning and giving incentives to carry out productive work.
- The utility of POL will involve all the protocols engaging the scaling solutions such as Polygon Pos, zkEVM, and, Supernets.
- After the approval of the proposal, the staking of POL is supposed to create a way for three incentive alternatives namely transaction fees, protocol rewards, and additional rewards.
This move was made in response to a statement made by the Securities and Exchange Commission (SEC) of the United States, which stated that MATIC is an unregistered security. Polygon Labs did state, however, that the latest suggestion is not in line with the events in the regulatory environment.