Polygon Ecosystem Token (POL) Explained: How to Migrate from MATIC

POL replaces MATIC as the new native token of the Polygon network. Learn about its key features and how it enhances the Polygon 2.0 ecosystem. Find out how to transition from MATIC and participate in staking and governance. Learn how to easily upgrade from MATIC to POL, Polygon’s new native token. This guide covers the migration steps and key tips for beginners.

Polygon Ecosystem Token (POL) is the newly introduced token in Polygon’s 2.0 upgrade, designed to replace MATIC and significantly enhance the ecosystem. POL plays a pivotal role in boosting the network's security, scalability, and governance. It has immediate utility on the widely adopted Polygon Proof-of-Stake (PoS) network, where it will serve as the native gas and staking token, essential for maintaining network security.

With POL, users can validate multiple chains, stake tokens to earn protocol rewards, and actively participate in the network’s decision-making processes. As Polygon continues to expand, POL will not only secure the network and enable smooth cross-chain interactions but also provide users with a meaningful voice in the community, driving the evolution of the entire ecosystem.

POL replaces MATIC in the Polygon 2.0 network, enabling enhanced security and multi-chain validation.
POL allows holders to actively participate in decentralized governance and shape the network’s future.
The new native token, POL, is available for trading on KuCoin, where users can buy or sell POL/USDT.

An introduction to the POL token | Source: Polygon blog

Polygon Ecosystem Token (POL) is the native token introduced with Polygon 2.0, designed to replace MATIC and bring advanced features to the network. As a hyperproductive asset, POL plays a central role in the ecosystem's functionality. Serving as the new native gas and staking token for the Polygon Proof-of-Stake (PoS) network, POL will be essential for processing every transaction starting from September 4, 2024, as outlined in Polygon Improvement Proposal 42 (PIP-42).

POL allows users to validate multiple Polygon-based chains simultaneously, which not only helps secure the network but also enables them to earn staking rewards and transaction fees in POL. Additionally, POL provides a significant role in governance, empowering users to vote on important decisions that guide the network’s future. As Polygon continues to evolve, POL will also play a crucial role in the AggLayer, further solidifying its importance in maintaining the network's security, decentralization, and scalability.

Here’s what makes POL special:

Hyperproductivity: POL lets you do more within the Polygon ecosystem. You can validate multiple chains at the same time, earning rewards from different sources. This boosts your potential earnings and makes the network more efficient.
Ecosystem Security: POL strengthens the security of the Polygon network. By expanding the validator pool, POL ensures the network is protected against attacks. Validators are motivated to join, providing the power needed to secure various chains. This keeps the network decentralized and your assets safe.
Infinite Scalability: POL helps Polygon achieve infinite scalability. The token supports a vast number of chains without sacrificing security or speed. This means faster and cheaper transactions, making Polygon a great platform for developers and users.
Frictionless Experience: Unlike other blockchain protocols that require users and developers to hold or stake tokens for network usage, POL is designed to minimize friction, enhancing user and developer experience.
Community Ownership: POL is central to Polygon’s decentralized governance model, allowing the community to have a significant say in the network’s evolution. This aligns with the ethos of open-source software, where community-driven decision-making is paramount.
Sustainable Growth of the Polygon Ecosystem: POL also plays a crucial role in ensuring the long-term sustainability of the Polygon ecosystem. Continuous emissions of POL will fund a Community Treasury, which supports protocol development, research, grants, and adoption incentives. This self-sustaining model is designed to keep the Polygon ecosystem competitive and responsive to market changes.

The following comparison highlights the differences between MATIC and POL, and the advancements that POL brings to the Polygon ecosystem, offering more robust staking options, enhanced governance, and better scalability and security compared to MATIC.

Feature	MATIC	POL
Role in Ecosystem	Primary token for staking, governance, and gas fees	Upgraded token with expanded utility, including hyperproductive staking and broader governance roles
Staking Capabilities	Used for staking on the Polygon PoS chain	Allows staking across multiple chains within the Polygon ecosystem, with the ability to perform multiple roles (e.g., validation, ZK proof generation)
Governance	Used in governance but with limited scope	Central to Polygon 2.0's decentralized governance, enabling broader community participation in decision-making
Utility Beyond Staking	Primarily used for staking and gas fees	Extends to multiple rewards streams, including protocol rewards, transaction fees, and additional chain-specific incentives
Migration Process	Existing token	Requires migration from MATIC, but the process is designed to be straightforward and user-friendly
Scalability Support	Supports the current Polygon ecosystem	Enhances scalability by supporting thousands of chains and seamless cross-chain interactions
Emission	No new emissions	Continuous emission model with a yearly increase of 2%, supporting ecosystem growth and sustainability
Validator Flexibility	Limited to a single chain	Validators can validate multiple chains simultaneously, increasing security and rewards potential
Security Model	Relies on current PoS security mechanisms	Enhanced with the introduction of Zero-Knowledge (ZK) proofs, providing greater security across multiple chains

Validators in the Polygon network are required to stake POL to participate in the validation process. This staking mechanism serves several purposes:

Prevention of Sybil Attacks: By requiring validators to stake POL, the network ensures that only serious participants can join, reducing the risk of malicious activity.
Alignment of Interests: Validators are rewarded with POL, transaction fees, and potentially other tokens, aligning their interests with the network’s success.
Versatile Roles: Validators can take on multiple roles, such as transaction validation, zero-knowledge proof generation, and participation in DACs, allowing them to earn rewards from multiple sources.

Getting started with POL is easy and opens up many opportunities within the Polygon 2.0 ecosystem. KuCoin has been supporting the migration since early 2023 and offers a seamless way to get involved. Since November 9, 2023, POL has been available on KuCoin's spot trading platform, allowing users to deposit POL tokens and trade the POL/USDT pair. If you’re eager to participate in the Polygon 2.0 ecosystem, you can choose to sell MATIC and buy POL on KuCoin, gaining early access to trading POL before it’s widely available on other top exchanges. Here’s how to get started:

You can buy POL directly on KuCoin using different payment methods like credit cards, bank transfers, or crypto deposits. Just create an account, deposit funds, and search for POL in the spot trading section to make your purchase.

Staking POL is simple. It helps secure the network and rewards you for your participation. When you stake POL, you delegate your tokens to validators who verify transactions and keep the network running smoothly. In return, you earn staking rewards based on your staked amount and your validator’s performance.

Here’s how to stake POL:

Choose a Validator: Pick a reliable validator from the list on the Polygon staking platform.
Delegate Your POL: Delegate your POL tokens to the chosen validator. Your tokens will be locked during the staking period, so you can’t use them elsewhere.
Earn Rewards: As the validator processes transactions, you earn rewards in POL. The more you stake, the more you can earn.

Staking not only secures the network but also provides you with a steady income stream.

Polygon, a leading layer-2 scaling solution on Ethereum, is undergoing a significant upgrade to Polygon 2.0. This update introduces POL, a new native token designed to replace MATIC, with improvements in scalability, security, and governance. Migrating from MATIC to POL is essential for users to benefit from Polygon 2.0's enhanced features. In this guide, we'll cover why the migration is necessary, what it involves, and how to complete the process step-by-step.

MATIC vs. POL | Source :X

The MATIC to POL migration is more than a simple token swap–it's an upgrade that aligns with Polygon's 2.0 vision of becoming the “Value Layer of the Internet”. POL expands on MATIC’s original purpose, providing more utility across the Polygon network. Unlike MATIC, which mainly served as a gas and staking token, POL offers more. Migrating from MATIC to POL is necessary to participate fully in the upgraded Polygon 2.0 ecosystem. This upgrade provides improved scalability, security, and governance. The process is straightforward, especially for users on the Polygon PoS network, where the migration occurs automatically.

While MATIC was primarily used for staking and gas fees, POL introduced enhanced governance capabilities, staking across multiple chains, and a more active role in securing the network. This migration represents Polygon’s shift toward a more decentralized and community-driven blockchain ecosystem.

Depending on where your MATIC tokens are held, the migration process varies:

MATIC on Ethereum: If you hold MATIC on Ethereum, you must manually upgrade your tokens to POL. This is done through the official Polygon Portal.
MATIC on Polygon PoS (Proof of Stake): No action is required for users holding MATIC on the Polygon PoS network, as the migration will happen automatically.
MATIC on zkEVM: You can either bridge your MATIC to Ethereum and complete the manual migration, or use a decentralized exchange (DEX) on the zkEVM network to swap your tokens. You can bridge your MATIC to Ethereum and follow the Ethereum migration process, or use a zkEVM decentralized exchange (DEX) to swap MATIC for POL. Either method will effectively upgrade your tokens.
MATIC on Centralized Exchanges (CEXs): If your MATIC is stored on a CEX, check their specific instructions. Most major exchanges like Kucoin will automatically convert MATIC to POL, but it’s important to monitor their announcements to avoid any delays .

Switching from MATIC to POL unlocks several key benefits:

New Staking Opportunities: POL expands staking across multiple chains within the Polygon ecosystem, offering more ways to earn rewards.
Governance Participation: As a POL holder, you gain voting power, allowing you to influence decisions that shape the network’s future.
Transaction Fees: POL becomes the native gas token in the Polygon ecosystem, making it essential for executing transactions and interacting with decentralized applications (dApps) .

Source: Polygon Labs

Step 1: Check Where Your MATIC Tokens Are Stored

Before starting, determine where your MATIC tokens are held—on Ethereum, Polygon PoS, zkEVM, or a CEX. This will guide your next steps in the migration process.

Step 2: Visit the Polygon Portal for Manual Migration (Ethereum Users)

If your MATIC is on Ethereum, you’ll need to manually migrate your tokens through the Polygon POL Upgrade Interface. If you hold MATIC on Ethereum, go to the Polygon POL Upgrade Interface. This portal will guide you through the migration process. Make sure to use the official portal to avoid scams.

Step 3: Follow the On-Screen Instructions

Once on the Polygon Portal, follow the detailed instructions to complete the migration. For most users, the portal simplifies the process, but take care to double-check each step to avoid errors.

Step 4: Monitor Your Exchange (CEX Users)

If your MATIC tokens are on a CEX, keep an eye on communications from the platform. Most exchanges like KuCoin will handle the migration automatically, but following their instructions ensures a smooth transition.

Step 5: Update Your Wallet Settings After Migration

After completing the migration, it’s important to update your wallet’s settings to reflect the new POL token. Failing to do so may cause your wallet to display incorrect information, such as showing "MATIC" instead of "POL" .

POL migration is automatically achieved on KuCoin since we are fully committed to supporting the Polygon 2.0 transition.
POL was listed on KuCoin back in August 2023, long before other exchanges did. Users can just sell their Matic tokens early and swap for POL tokens if they want to.

Incorrect Contract Interactions: If you’re manually migrating tokens, be careful when interacting with the migration contract. Sending tokens to the wrong contract can result in irreversible loss of funds.
Delays in Exchange Processes: Some centralized exchanges may experience delays due to the volume of transactions. Stay informed by regularly checking for updates from your exchange.
Wallet Display Errors: After migration, your wallet may still display MATIC instead of POL. This can be resolved by updating your wallet's RPC (Remote Procedure Call) settings .

As a cornerstone of Polygon 2.0, the launch of the POL token marks a pivotal step in achieving the ambitious roadmap set forth for the network. Replacing MATIC with POL is crucial to realizing the full potential of Polygon 2.0, as it lays the foundation for enhanced security, scalability, and decentralized governance. By getting involved with POL, you’re not only securing the network and earning rewards but also playing an active role in shaping the future of Polygon. POL is the key to unlocking a more interconnected, resilient, and innovative blockchain ecosystem, driving the next wave of growth and adoption in the decentralized world.

Migrating from MATIC to POL is crucial for ensuring your tokens remain useful and secure in the Polygon 2.0 ecosystem. This upgrade unlocks new staking opportunities, governance participation, and improved transaction capabilities, making it essential for future interactions on Polygon; upgrading to a seamless interaction with decentralized applications (dApps) within the Polygon ecosystem. Whether your MATIC tokens are stored on Ethereum, Polygon PoS, zkEVM, or a centralized exchange, completing the migration promptly is key to taking full advantage of the new features.