POL on the Goerli Testnet
The deployment on the Goerli testnet is not just a test, but it also represents the unity of the community and the progress towards Polygon 2.0. The live POL contracts on the testnet demonstrate the support of the community and reflect the collective ambition of the Polygon community.
Before this significant move, a Polygon Improvement Proposal (PIP) was introduced, which outlined the vision for POL as a crucial part of the Polygon 2.0 infrastructure. As a result, two important proposals emerged, proposing changes to the token’s burn mechanism and shaping the future development of Polygon.
POL: The Future Beyond MATIC
POL is more than just a token; it represents a visionary transformation that will revolutionize the legacy of MATIC. Its design blueprint sets the stage for an era where zero knowledge-based Layer 2 chains take center stage. This vision is built upon three pillars: staking, reinforced community ownership, and decentralized governance that upholds the values and principles of the blockchain community.
Focus on PIP-24 and PIP-25
PIP-24, titled “Change EIP-1559 Policy,” is a critical amendment that proposes modifications to the recipient address of the burn on the Polygon PoS network. However, PIP-24 is not merely a standalone alteration. It serves as the precursor, laying the groundwork for Phase 0 of Polygon 2.0, which was initially introduced in PIP-18.
On the other hand, PIP-25, titled “Adjust POL Total Supply,” aims to provide a mechanism that ensures a perfect 1:1 alignment between all previously burnt MATIC and POL tokens. This mechanism strengthens consistency within the ecosystem, maintaining a harmonious balance.
These two amendments hold significant importance in shaping the future of the Polygon ecosystem and its governance.
Token Burns in the Polygon PoS Network: EIP-1559 & MATIC Explained
The EIP-1559 mechanism plays a crucial role in orchestrating the burning of MATIC tokens by utilizing the base fees paid by users on the network. Since its introduction in January 2022, this mechanism has been instrumental in overseeing the burn of an impressive 20 million MATIC tokens. Its impact extends beyond token burning; it also ensures a balanced token supply and creates a more predictable fee estimation ecosystem for users.
Insights and Updates on MATIC Price
At its current trading price of $0.5592, MATIC has experienced a slight 24-hour decline of 1.87%, reaching a peak of $0.5686 before stabilizing above $0.5541. The robust trading volume of 37,682,953.10 MATIC, equivalent to 21,143,591.73 USDT, indicates active participation in the market. These figures may provide insights into potential market trends and changes as Polygon continues to progress.