In early September, the Polygon Network (an EVM-style layer 2 solution based on Ethereum) underwent a long-anticipated network upgrade.
What does it mean for you? What are the risks and opportunities? And what does the future hold for Polygon?
What changes with the 2024 Polygon Network upgrade?
The most important point first:
There’s nothing of substance changing; it’s simply a “rebranding” exercise of the mainnet token of the Polygon Network, previously known as “MATIC,” to the more appropriate ticker name “POL.”
Since the Polygon Network originally started out as “Matic Network,” this is a long-overdue naming change that will help reduce confusion for cryptocurrency users.
What happens to my MATIC tokens?
There is no immediate threat to your holdings.
MATIC tokens on the Polygon Network will automatically be upgraded to POL tokens.
However, if you have MATIC tokens on Ethereum, you will need to convert them to POL tokens on the Polygon Network.
You can convert your tokens here:
https://bitcoinvn.io/?deposit=maticerc20&settle=matic
No sign-up is required, and you can swap MATIC_ERC20 tokens for POL_Polygon tokens as needed.
What are the changes to the BitcoinVN MATIC staking vault?
Once more, no changes for you which would require immediate action.
The MATIC staking vault will be renamed into POL staking vault, otherwise everything remains the same as you’re used to from using our staking services.
To note:
Participants in the Polygon (“POL”) staking vault will continue to receive rewards for both tokens involved in swaps on the BitcoinVN platform, the Polygon Mainnet token (“POL”) as well the the ERC20 token (“MATIC).
How can I secure my Polygon (POL) tokens?
As always, the answer remains:
Self-custody and never exposing your private keys to the Internet.
To store and use Polygon Network tokens (“POL”) you can use any of the following Ledger devices:
…or the following Trezor Devices:
BitcoinVN Shop has been an authorized supplier of Trezor and Ledger devices in Vietnam for many years. We ship directly from our Vietnam warehouse, saving you the hassle and trouble of dealing with customs and import logistics.
How can I buy Polygon (POL) tokens in Vietnam?
Of course from your favourite cryptocurrency exchange, BitcoinVN:
https://bitcoinvn.io/?deposit=vnd&settle=matic
You can also use our Cash Deposit option if you’re based in Saigon.
You can wire funds from any domestic bank account in Vietnam and as long as you follow the deposit instructions you should have the POL tokens in your wallet within a couple of minutes.
What does the future hold for Polygon? Should I buy more of it?
Generally POL is used as a utility token on the Polygon Network with a current infinite issuance of 2% per year (allocated to validators and the “community treasury”).
However, this supply issuance schedule is based on the consensus of the relevant stakeholders of the network and thereby can undergo changes at any time.
The Polygon Network has experienced a steady increase in usage over the past couple of months, particularly with USD-backed stablecoins. It has established itself as one of the most-utilized transfer networks for USDT and USDC.
However, keep in mind that just because something has market demand for its utility that it does not equal a sound long-term store of value.
Conflating one with the other has been a steady widow maker in financial markets ever since.
If you’re actively using the Polygon network, yes, it makes sense to hold a few POL tokens to cover network usage fees.
If you want to go out on the risk curve and exchange self-custody for “extra yield”, you can take a look at the BitcoinVN staking vault. By providing liquidity to the platform, you can earn a share of the exchange fees generated by BitcoinVN.
With that said, there are few signs indicating a trend reversal, and POL token prices tend to decline compared to Bitcoin (BTC), the benchmark of the ecosystem.
If you wish to acquire POL without the need to sign-up for an account, you can do so via the BitcoinVN instant exchange platform:
https://bitcoinvn.io/?deposit=usdtpolygon&settle=matic
Questions? Comments?
Reach out via our usual contact channels or join our Telegram community.
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