Polygon Labs has successfully deployed the POL token upgrade on the Ethereum mainnet. This upgrade will enable POL holders to perform various roles on multiple zero knowledge-based Layer 2 chains. However, the upgrade does not mean that POL will automatically replace MATIC, as the transition requires governance approval and will coincide with the launch of the Polygon 2.0 upgrade. The upgrade also includes the introduction of a staking layer, improvement of Polygon PoS to zkRollup, and implementation of a shared liquidity protocol. Existing contracts on Polygon PoS and Polygon zkEVM networks will continue to function as before. Despite the upgrade, there has been no significant impact on MATIC’s price, which has seen monthly gains despite regulatory uncertainties.
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