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Polygon has proposed an upgrade of its MATIC token allowing it to be utilized across multiple chains.
The ever-evolving crypto ecosystem often goes through various upgrades to achieve the goal of scalability and mass adoption. The Ethereum Layer 2 solution, Polygon, announced rebranding its native token to POL to scale across its ecosystem.
Polygon Announced Upgrading
On Thursday, Polygon shared its proposal for POL that could serve as a single token for all the Polygon chains, i.e., Polygon proof-of-stake (PoS), zero-knowledge Ethereum Virtual Machine (zkEVM), and Supernets.
Due to the POL upgrade, validators could validate multiple chains, and every chain would offer multiple roles to validators.
- Learn more about Polygon here.
- Learn how to use Polygon bridge here.
If the community passes this proposal, the MATIC tokens will be upgraded to POL at 1:1.
$5 Price Target?
However, the POL white paper has received criticism from community members. A Twitter user, “John Doe” highlighted the yearly emission rate of 1% of the POL supply and wrote:
“The real reason for a token swap in always in the white paper, not in the tweet.”
Moreover, the white paper also estimates a $5 average POL price during the 10-year period. Crypto educator Hitesh Malviya criticized the price target. He wrote on Twitter:
“I am critical of the way Polygon has shared a price target for $POL based on future growth. This could create unnecessary FOMO in an already uninformed crypto audience.
Only a few people will take note of the tokenomics, while most will shill based on the $5 target given in the white paper. I do not know why they did this, it could have been avoided.”
