Polygon Labs, the team behind the widely adopted Layer 2 scaling solution Polygon, has officially launched its new token POL on the Ethereum mainnet. This strategic upgrade marks a pivotal evolution in Polygon’s ecosystem, introducing POL as a next-generation utility and governance token designed to replace the existing MATIC token. While both tokens will coexist temporarily, POL is set to become the central currency powering Polygon’s growing network of zero-knowledge (ZK) and modular blockchain solutions.
Importantly, users are not required to take immediate action. There is no deadline for conversion, and MATIC remains fully functional across current networks like Polygon PoS and Polygon zkEVM. However, Polygon Labs emphasizes that POL will eventually offer broader functionality and long-term value as it integrates deeply into the ecosystem.
👉 Discover how the new POL token unlocks cross-chain utility and governance across Layer 2 networks.
What Is Polygon, and Why Introduce a New Token?
Polygon is a leading blockchain platform that provides scalable solutions for Ethereum and other networks. By offering tools such as optimistic rollups, ZK rollups, and independent chains, Polygon addresses critical limitations of Ethereum—namely high gas fees, low transaction throughput, and suboptimal user experience.
The network boasts impressive performance metrics, claiming up to 65,000 transactions per second on a single sidechain with block finality in under two seconds. It also hosts one of the most vibrant Layer 2 ecosystems, supporting over 50 decentralized applications (DApps) on its Proof-of-Stake (PoS)-secured Ethereum sidechain.
Despite this success, the current MATIC token presents certain constraints as Polygon scales toward a more interconnected and modular future. Originally designed for gas payments and staking within the PoS network, MATIC lacks features needed for advanced governance, cross-chain interoperability, and dynamic value capture across a multi-chain environment.
Key limitations include:
- No direct governance rights for MATIC holders
- Limited transferability between different Layer 2 chains
- Fixed supply of 10 billion tokens, potentially insufficient for long-term incentives
To overcome these hurdles, Polygon Labs introduced POL, a unified token with expanded utility across the entire ecosystem.
Key Features of the POL Token
The new POL token is engineered to serve as the backbone of Polygon’s next phase of growth. With a dynamic supply cap of 10 billion tokens, POL introduces several innovative mechanisms:
Unified Currency and Governance
POL consolidates all economic and decision-making functions within the Polygon ecosystem. Token holders gain voting rights on protocol upgrades, funding allocations, and strategic initiatives—enabling true decentralized governance.
Cross-Chain Staking and Bridging
A core innovation is the re-staking protocol, allowing users to stake POL across multiple ZK-powered Layer 2 chains simultaneously. This means a single staked position can contribute to security, earn rewards, pay fees, and enable governance participation across various networks—including future integrations with chains like Arbitrum, Optimism, and Starknet.
Incentivized Participation
Token distribution follows a transparent model rewarding users, validators, developers, and community contributors based on their active involvement. This ensures fair access and promotes sustainable ecosystem development.
👉 Learn how cross-chain staking with POL maximizes yield and utility in multi-Layer 2 environments.
How Will POL Affect MATIC Holders?
Existing MATIC holders will not lose value or functionality during the transition. In fact, they stand to benefit: every MATIC token held equates to one POL token through a 1:1 airdrop mechanism. These POL tokens will appear in users’ wallets automatically upon claiming via the official migration interface.
Crucially:
- No expiration date or deadline exists for converting MATIC to POL
- Current staking positions on Polygon PoS or zkEVM remain unaffected
- Stakers continue earning rewards in MATIC (and potentially POL) until they choose to unstake or migrate
However, Polygon Labs recommends early adoption. As POL becomes the primary token for gas fees, staking, governance, and service access across all future Layer 2 offerings, its utility—and likely market demand—will grow significantly. Over time, MATIC is expected to phase out of active roles within the upgraded ecosystem.
How to Convert MATIC to POL
The migration process is designed to be seamless and secure. Users can access the official token swap interface through Polygon’s website or compatible wallets. The conversion requires no fees or incurs slippage, ensuring full value transfer.
Additionally, Polygon has partnered with major exchanges and wallet providers to support native MATIC-to-POL trading pairs. While the full list of partners will be announced soon, early integration ensures liquidity and accessibility from day one.
Once converted, users can immediately begin leveraging POL for:
- Paying gas fees on ZK-based chains
- Staking across multiple Layer 2 networks
- Participating in governance votes
- Accessing exclusive ecosystem services
Advantages and Challenges of the POL Upgrade
Benefits of POL
- Ecosystem Cohesion: Unifies currency, security, and governance under one token
- Interoperability: Enables frictionless movement of value and stake across chains
- Scalable Incentives: Dynamic supply supports long-term innovation and contributor rewards
- Decentralized Control: Empowers community-driven decision-making
Potential Challenges
- Market Competition: Must compete with established Layer 2 tokens like ARB (Arbitrum), OP (Optimism), and potential future tokens from StarkWare
- User Adoption: Requires effective communication and education to drive widespread migration from MATIC
- Security Risks: As re-staking expands across chains, robust monitoring is essential to prevent exploits or consensus vulnerabilities
“POL isn’t just a new token—it’s the foundation of a more connected, user-owned internet.” – Polygon Labs
Frequently Asked Questions (FAQ)
Q: Do I need to convert my MATIC to POL immediately?
A: No. There is no deadline for conversion. You can migrate at your convenience without losing value.
Q: Will MATIC become worthless after the POL launch?
A: Not immediately. MATIC remains functional for gas and staking on existing networks. However, its utility will gradually decrease as POL takes over core functions.
Q: Can I stake POL on both zkEVM and other Layer 2 chains?
A: Yes. The re-staking protocol allows you to use your POL across multiple chains simultaneously while maintaining security and earning rewards.
Q: Is there a fee to swap MATIC for POL?
A: No. The migration process is free of charge and does not involve slippage.
Q: Where can I trade POL?
A: POL will be listed on major exchanges that have partnered with Polygon. Check official channels for an updated list of supported platforms.
Q: How is the total supply of POL determined?
A: POL has a maximum supply of 10 billion tokens distributed through transparent mechanisms rewarding network contributors over time.
👉 Start exploring the future of multi-chain staking with Polygon’s new POL token today.
Final Thoughts
The launch of POL represents a transformative step for Polygon Labs, positioning the network at the forefront of the modular blockchain era. By replacing MATIC with a more versatile, interoperable, and community-driven token, Polygon strengthens its vision of a unified, scalable Web3 infrastructure.
While challenges around adoption and competition remain, the foundational upgrades offered by POL—especially cross-chain re-staking and decentralized governance—set a new standard for Layer 2 ecosystems. For users and developers alike, now is the time to understand and engage with this evolution.
As the transition unfolds, staying informed and proactive ensures maximum benefit from one of 2025’s most significant blockchain upgrades.