Coinbase recently announced its support for the Ethereum layer-2 network Polygon’s upcoming token upgrade from MATIC tokens to the new Polygon Ecosystem Token (POL). The exchange is set to begin migrating the Polygon ticker from MATIC to POL starting August 26th. The migration process from MATIC to POL will be completed by Coinbase on behalf of its users in the coming months, with details regarding the timeline for conversion to be provided soon.
During the migration period, Coinbase will disable the sending and receiving of MATIC tokens on the Polygon network from August 26th to September 10th. This temporary measure is aimed at ensuring a seamless transition from MATIC to POL. Additionally, Coinbase plans to add support for POL on the Ethereum network by September 4th, allowing trading of both MATIC and POL until further notice. Customers staking MATIC on Coinbase will continue to earn rewards during this transition period.
Following Coinbase’s announcement, data from CryptoSlate showed that Polygon’s POL and MATIC tokens experienced a surge of over 10%. This positive market response reflects the anticipation surrounding Polygon’s upcoming POL migration scheduled for September 4th. POL is described by Polygon as a hyperproductive token that will offer valuable services across all chains within the Polygon network, including AggLayer. The token will play a significant role in gas fees and staking within the Proof-of-Stake (PoS) network, which is crucial for Polygon network security.
Polygon outlined that POL will have broader roles in the Polygon staking hub, set to be released in 2025. These roles include block generation, zero-knowledge proof generation, and participation in Data Availability Committees (DACs). The transition from MATIC to POL will occur in phases, aligning with Polygon’s overarching goals to enhance network efficiency and functionality. This phased approach ensures a smooth and seamless migration process for all users involved in the Polygon network changes.
Coinbase’s support for the Polygon network’s transition to POL signals a significant development within the crypto space. The migration from MATIC to POL brings about new opportunities and functionalities for users within the Polygon ecosystem. As the crypto market continues to evolve, staying informed about these changes is crucial for investors and traders looking to capitalize on the growth and potential of emerging blockchain technologies.
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