Coinbase recently announced its support for the Ethereum layer-2 network Polygon’s planned token upgrade from MATIC tokens to the new Polygon Ecosystem Token (POL). The exchange detailed that it would start migrating the Polygon ticker from MATIC to POL on Aug. 26. Coinbase plans to complete the migration on behalf of users in the coming months, providing specifics about the timeline for conversion once they are available.
During the migration period, the ability to send and receive MATIC on the Polygon network will be disabled from Aug. 26 to Sept. 10. This temporary measure is aimed at ensuring a seamless transition from MATIC to POL. Additionally, Coinbase intends to add support for POL on the Ethereum network by Sept. 4. Trading for both MATIC and POL on Ethereum will be facilitated until further notice, while customers staking MATIC on Coinbase will continue to earn rewards.
Following Coinbase’s announcement, both Polygon’s POL and MATIC tokens experienced a surge of over 10% according to data from CryptoSlate. This increase in value reflects the positive sentiment surrounding Polygon’s upcoming POL migration scheduled for Sept. 4. POL is described by Polygon as a highly productive token that will offer valuable services across all chains within the Polygon network, including AggLayer. The token is set to function as the primary currency for gas fees and staking within the Proof-of-Stake (PoS) network, essential for the security of the Polygon network.
The introduction of POL will lead to more extensive functions within the Polygon staking hub, set to be launched in 2025. These functions include block generation, zero-knowledge proof generation, and participation in Data Availability Committees (DACs). The transition from MATIC to POL will occur gradually, aligning with Polygon’s overall objectives to enhance network efficiency and functionality.
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